Xiaohongshu (RedNote) Becomes Top U.S. App as TikTok Faces Shutdown Threat

Xiaohongshu (RedNote), a Chinese social media app, has surged to the top of the U.S. App Store amid growing uncertainty over TikTok’s future in the U.S.

With TikTok facing a potential shutdown on January 19, Xiaohongshu has become a popular alternative, climbing to No. 1 on the free apps chart and becoming the top social networking app for iPhones.

Launched in 2013, Xiaohongshu has gained significant traction in recent years, particularly during the COVID-19 pandemic.

The app combines features from Pinterest and Instagram and includes social shopping elements, making it appealing to creators looking for a platform with similar features to TikTok. Xiaohongshu now boasts 300 million monthly active users, with 79% of them being women.

TikTok creators have been encouraging followers to switch to Xiaohongshu, potentially as a hedge against the app’s uncertain future.

Xiaohongshu’s rise has not gone unnoticed by investors, with the app raising $917 million in funding and being valued at $17 billion in 2024. It is expected to see significant profits in 2024, possibly ahead of an IPO.

Despite its recent success, it remains to be seen whether Xiaohongshu can maintain its momentum and how it will be received by U.S. authorities, given its Chinese origins and lack of transparency about its operations in the U.S.