While Character.AI works through Chapter 11, several of its competitors are reporting sharply higher revenue, according to an analysis published in English by 36Kr on 12 November. The piece, which originated with a Chinese technology commentary account, argues that the difference lies in how the newer apps charge.
What we know
Citing bankruptcy filings, 36Kr puts Character.AI's revenue for August 2026 at about $5.3 million, split between roughly $2.8 million in subscriptions and $2.5 million in advertising, against monthly operating costs of about $13.3 million. Compute alone came to $5.61 million. The company offers a $9.99 monthly plan while letting many free users chat without limit.
The article sets that against third-party estimates for the wider sector. It quotes Sensor Tower data showing mobile revenue for AI companion apps more than doubling between January and August, and Appfigures data putting consumer spending on 214 romance and adult-oriented companion apps at $162.8 million in the first half of 2026. Zeta, from South Korea's Scatter Lab, led that list at $33 million, followed by Tipsy Chat and Crushie AI. Scatter Lab's first-half revenue of 70.9 billion won exceeded its total for all of 2025, with an operating profit of 5.2 billion won, 36Kr said. CHAI disclosed a $120 million annualised run rate in October with a team of no more than 20.
On pricing, the article cites an Airbridge study describing Tipsy's three subscription tiers plus virtual "gems", sold in packs of up to $199, which pay for chats, images and video.
Why it matters
The argument is about unit economics. A flat subscription with unlimited chat means the heaviest users cost the most to serve and pay no more for it. Metered currencies, premium model tiers and story-led content borrowed from mobile games tie revenue to usage instead. That is a useful lens for operators and investors, though the figures are app-store estimates and company disclosures relayed second-hand, not audited comparisons.
The same mechanics carry risk. Open-ended spending by emotionally invested users is exactly the pattern that consumer regulators have examined in games, and companion apps add intimacy to the mix.
What to watch
Whether bidders for Character.AI's assets see a route to these economics, and whether gem-style pricing draws regulatory attention.
Written by the AI Companion Wire newsroom from public reporting, credited above. Image via 36Kr.
