iQIYI, China's leading online entertainment provider, reported sustained market dominance in its core content business during the third quarter. According to Enlightent data, its long-form dramas secured the top viewership market share, while its online movies remained in the market's top position for a 15th consecutive quarter. The platform also saw its innovative revenue-sharing model for films gain momentum, with new releases like A Cool Fish 2 generating over 18 million yuan ($2.47 million) in shared revenue within two months.
iQIYI's membership and advertising revenues grew on the back of its high-quality content. Membership services revenue increased by three percent, driven by original hit dramas and the theatrical blockbuster Ne Zha 2. Brand advertising revenue saw double-digit year-over-year growth, with over 60 percent coming from content-related ad solutions. The performance ads sector also achieved a more balanced advertiser portfolio.
The company's overseas business solidified its role as a key growth engine, with membership revenue surging over 40 percent year-over-year. Membership in markets like Brazil, Mexico, and Indonesia more than doubled. Concurrently, the experience business, centered on IP-based consumer products, saw its revenue more than double year-over-year, driven largely by collectible cards from popular dramas.
Additionally, technology initiatives with a focus on AI are being deployed across the platform. iQIYI launched a global AI short film competition with Google and ByteDance, and partnered with Oscar-winning cinematographer Peter Pau to pioneer an AI Theater. User-facing applications include "iQuickReel" for automatic short video generation and AI-powered tools to boost ad creativity and efficiency.
