Kuaishou's Kling Challenges Google, OpenAI in AI Video Generation Market
- tech360.tv
- 3 hours ago
- 2 min read
China’s Kuaishou has established its Kling platform as a top-tier competitor in AI video generation, challenging Google’s Veo and OpenAI’s Sora. Launched in June 2024, Kling has rapidly gained about 12 million monthly active users and an annual recurring revenue of roughly USD 240 million.
JPMorgan Chase highlighted Kling’s monetisation potential in a Jan. research note, forecasting USD 244 million in revenue for 2026. The firm called Kuaishou "one of the most undervalued AI stocks globally."
Kuaishou established a stand-alone business unit for Kling in Apr. 2025, positioning it as a new poster child for the generative-AI era. Executives have consistently cited its rising user base and revenue in earnings calls. Kuaishou’s Hong Kong shares gained 23.3% over the past month.
Zeng Yushen, head of operations for Kling, attributed the video generator's breakout success to leading AI models, strong interactive design, and deep engagement with the creator ecosystem. Zeng noted, "A very clear signal last year from the industry was the embrace of AI."
Kling rolled out seven foundational model upgrades last year, including Kling O1, which is touted as the industry’s first unified multimodal video model. Kling O1 can handle images, video, subjects, and text within a single prompt, also allowing on-the-fly editing.
Another update, Kling 2.6, significantly improved audio generation capabilities. The tool integrates DeepSeek’s model for prompt writing and includes a motion control feature for mirroring movements in reference videos.
Kling primarily targets professional creators and enterprise customers, who account for about 70% of total revenue through tiered memberships and application programming interface access. Kuaishou plans to expand Kling to the broader consumer market in the future.
Kling launched globally from its inception, with about 70% of its current revenue stemming from overseas markets. Sensor Tower data indicates the US market contributes roughly a third of this international revenue.
Television director Li Brian noted that Kling’s "taste feels closer to what Chinese creators want." Zeng said the company uses a localised approach for operations and marketing, tracking regional social media trends and creator communities.
However, Li cautioned that his endorsement was "temporary," citing the rapid evolution of AI tools and shifting user loyalties. Film producer Zhong Zhong, based in Shanghai, expressed a preference for Sora 2, released in Sept., for its performance in maintaining character consistency.
Kling faces competition from other Chinese platforms such as ByteDance’s Jimeng, Alibaba’s Wan, and Tencent’s Hunyuan, along with start-ups like Minimax’s Hailuo. Zhong noted persistent weaknesses across all tools, including shot continuity and realism in performances.
Despite these limitations, there is a growing consensus that AI adoption is inevitable for creators. The influx of AI-generated content is prompting creators to re-evaluate their tools and their own value.
Kling, developed by China's Kuaishou, is a leading AI video generation platform, competing with Google's Veo and OpenAI's Sora.
Since its June 2024 launch, Kling has garnered about 12 million monthly active users and roughly USD 240 million in annual recurring revenue.
JPMorgan Chase projects Kling's revenue to reach USD 244 million in 2026, considering Kuaishou one of the most undervalued AI stocks globally.
Source: SCMP
