Video-generation boom sees China’s Kling AI post US$240 million in annual revenue run rate

Generative artificial intelligence service Kling AI in December recorded more than US$20 million in sales, which corresponded to an annualised revenue run rate (ARR) of US$240 million, according to Chinese operator Kuaishou Technology.

That was more than double Kling AI’s US$100 million ARR in March last year, according to a statement on Tuesday from Bejing-based Kuaishou.

Kling AI’s commercial progress was attributed to Kuaishou’s steady upgrade of the service with features that addressed the diverse requirements of AI video creators around the world, according to a report on Tuesday by Fitch Ratings.

Some of the world’s most popular generative AI services, such as those of video platform HeyGen and music tools provider Suno AI, last year reached the US$100 million ARR level.

Kuaishou – the short video platform rival in China of ByteDance-owned Douyin – said Kling AI’s innovative features have led to widespread adoption in the fields of marketing and e-commerce, as well as in films, television and animation.

That feat underscored how the monetisation of AI video tools worldwide gathered pace and Kuaishou’s efforts to develop one of the world’s most powerful video generation systems, rivalling OpenAI’s Sora and Google DeepMind’s Veo.