Corrections and updates
Errors in reports, company profiles, data tables, guides and the regulation tracker are corrected on the page itself, with a note at its foot. An update records a statement that was accurate when it was published and has since been overtaken by events. Both are listed here by the kind of page, newest first. To report an error, write to corrections@verticalobserver.com.
Corrections
Reports
- Virgin Media Television commissions its first vertical drama
The report called Zero Focals Given Ireland's first vertical drama, the second commission of original vertical fiction by a European broadcaster and the first by a commercial one. Radio Bremen and Saarländischer Rundfunk had already released Between the Beats in June 2026, and the sources support only that it is Virgin Media Television's first vertical drama. The rankings have been removed.
- Two unrelated $1.4bn estimates circulate for different markets and years
The $1.4bn ex-China market figure for 2024 was attributed to the Motion Picture Association. It is Media Partners Asia's estimate.
- China's microdrama rules become binding law from 1 September
The report said Order No. 16 widened the definition of microdrama to episodes of under 20 minutes. The June 2026 draft already used the same definition.
- Capital flows to Chinese AI video while Western microdrama rounds stay small
The report said none of the rounds closed in the period was in a Western vertical-drama app. GammaTime, Idilio and StoReel all raised money in June 2026, on a much smaller scale.
- Three unrelated "150" figures circulate as microdrama market sizes
The report compared Dianzhong's ¥150bn for China's 2026 market with DataEye's ¥40bn as 3.75 times the same market. DataEye's figure covers only the AI short-drama segment and is not comparable.
- ByteDance is reported to be running a paid microdrama app, LimeShorts
The report described Melolo and PineDrama as free and LimeShorts as ByteDance's first paid microdrama app. Melolo also sells coins and a $15 weekly pass, and PineDrama has begun testing advertising and coins.
- DataEye counts 221,900 AI dramas in H1, 0.47% past 100m views
The share of DataEye's 221,900 AI dramas that passed 10m views, about 12,000 titles, was given as 5.8%. It is 5.4%.
- China's NRTA draft would require an AI label on every microdrama episode
The report described the per-episode AI label in Article 34 of China's draft measures as materially the same duty as Article 50(2) of the EU AI Act. The comparable EU duty for visible labels, Article 50(4), reaches only deep fakes and, inside fiction, applies only in limited form, so the Chinese label is stricter.
- Five new entrants, including a distressed pivot out of real-money gaming
Zupee's purchase of Vertical TV was attributed to company statements. It rests on an Inc42 report citing sources, which the companies have not confirmed.
- German trade podcast questions the microdrama growth story
This report was labelled as a research-vendor estimate. It rests on press reporting and is now labelled reported.
- Higgsfield AI in talks for $300-500m at a $5bn pre-money valuation
This report was labelled as a research-vendor estimate. It rests on press reporting and is now labelled reported.
- Microhouse Films launches 7 July with Lifetime's first microdrama
The estimate of about $1.5bn in combined annualised revenue for DramaBox and ReelShort, given at the APOS conference, was attributed to the Motion Picture Association. It is Media Partners Asia's estimate.
- Evoken, the LiblibAI parent, raises about $300m at more than $2bn
The report did not name the round's investors. Granite Asia and Shunwei Capital led it, joined by HT Investment, Jadestone and existing investors Ant Group and Sequoia China.
- Legal opinion holds the German streaming levy plans unconstitutional
This report was labelled as a research-vendor estimate. It rests on press reporting of a legal opinion and is now labelled reported.
Company profiles
- Virgin Media Television
The profile called Zero Focals Given the second commission of original vertical fiction by a European broadcaster and the first by a commercial one. Radio Bremen and Saarländischer Rundfunk had already released Between the Beats in June 2026, and the ranking has been removed.
- Vertical TV (Zupee Studio)
Zupee's acquisition of Vertical TV on 3 February 2026 was stated as fact. It rests on an Inc42 report citing sources, which the companies have not confirmed.
- TopShort
TopShort was categorised as an app of non-Chinese origin. It is Chinese-owned, by Shanghai Jiashu Tech.
- ReelShort
The profile gave Beijing as the seat of control over ReelShort. COL Group's filings account for Crazy Maple Studio, ReelShort's operator, as an equity-method associate with 49.24% of the equity, not as a controlled subsidiary.
- N1BW
The profile labelled a row stating that N1BW has no app as an official figure, but its source was not an official record. The row has been removed; the profile states that N1BW runs in the browser rather than as an app.
- Kuku TV (Kuku FM)
The profile called Kuku TV's audience of about 37m monthly users the largest microdrama audience in India. The claim could not be supported, and it has been removed.
- Hongguo (红果短剧)
The profile gave viewing on Hongguo as about 125 minutes a day. No named source supports that figure, and it has been removed.
- Holywater (My Drama)
The profile called Holywater's $22m Series A of January 2026 the largest disclosed raise by an operator outside China. Larger rounds include Vigloo's $86m–89m, Kuku TV's $85m and Pocket FM's $103m.
- Holywater (My Drama)
The profile carried an estimated post-money valuation of about $200m–250m for the January 2026 Series A. No source for the estimate is named, and it has been removed.
Data tables
- Sources for microdrama market figures
The range of about $7k–14k per AI-produced title was described as sourced. It circulates without a named source.
- Microdrama app ranking data by vendor and measure
Two quarterly revenue figures of $130m and $120m were given as about 70% of a quarter of about $700m. They are about 36%.
- Microdrama market data: estimates by vendor
Sensor Tower's 2.3bn short-drama app downloads for 2025 were shown with an increase of 1.66bn on the year, which does not reconcile with its 475m for 2024. The table now gives 2.3bn alone; the 1.66bn increase circulates without a reconciling source.
- Microdrama market data: estimates by vendor
Sensor Tower's 2025 short-drama app spending was shown as a single range of $2.8bn to $2.98bn. The two figures are cited with different scopes, $2.8bn outside China and $2.98bn globally, and are now shown separately.
- Microdrama market data: estimates by vendor
Europe revenue per user was shown as falling from $2.05 in 2025 to $0.24 in the first quarter of 2026, which compares a full year with a single quarter. The two figures are now shown separately.
- Microdrama filings data: company, legal, regulatory
The MedienInvestVG entry said services must invest 8% of their German revenue in local content and that new services are exempt for 25 months. The bill sets 8% of annual net turnover, with sub-quotas for European works, productions in German original language and independent producers; the ministry's summary puts the grace period for new services at the third calendar year, law-firm commentary at 25 months.
- Europe microdrama data, country by country
The table said only the United Kingdom and Germany had published audience figures. Spain (GECA) and France (Dentsu) have published penetration or survey figures.
- Microdrama data by country: users and revenue share
Europe revenue per user was shown as falling from $2.05 in 2025 to $0.24 in the first quarter of 2026, which compares a full year with a single quarter. The two figures are now shown separately.
Regulation tracker
- China, NRTA filing review tiers and the AI micro short drama classification notice
The entry said DataEye counted 221,900 new AI short dramas on Douyin in the first half of 2026. DataEye has described the same count both as network-wide in China and as on Douyin.
Background
- Microdrama industry overview: growth, China, unit economics
FlexTV's marketing was given as 62% to 71% of revenue, per its filings. Its FY2025 20-F gives selling expenses of 62% of revenue in 2024 and 47% in 2025.
- Microdrama app leaderboards: revenue and installs
The notes said the vendor behind the DramaBox and ShortMax revenue estimates was not named. Both are Sensor Tower estimates, and each revenue row now names its source.
Updates
Company profiles
- Vertical Minds / EiLiN
The profile gave EiLiN's launch as summer 2026. OMR reported in August 2026 that the full launch had moved to late summer or autumn 2026, and no date had been given as of 22 October 2026.
- SoonShot
The profile said SoonShot's ownership was not otherwise disclosed and that it had published no user, revenue or funding figures. In an interview published by Money Today on 26 September 2026, ADG Company of South Korea was named as its operator and the company gave user, revenue-share and subscription figures; the profile now carries them.
- ReelShort
The profile called ReelShort the largest microdrama app in Western markets by revenue. Sensor Tower ranked it first by revenue for 2024 and for the first quarter of 2025, and second, behind DramaBox, in the first quarter of 2026.
- PineDrama
The profile gave PineDrama's downloads as about 17.6m to 17.8m, a figure from around the first quarter of 2026. Sensor Tower figures reported in September 2026 put cumulative downloads above 100m.
- Microhouse Films
The profile described Microhouse Films as awaiting launch. It launched on 7 July 2026.
- FlareFlow
The profile described FlareFlow as not profitable. COL Group's half-year report shows a net profit of RMB 152.4m on revenue of RMB 252.7m in the first half of 2026, with negative net assets.
- Black Forest Studios / Snaxx
The profile described the MicroVerse app as due in summer 2026. That project was dropped, and the company announced the Snaxx app on 15 September 2026 for launch on 1 November 2026.
- aTwist (formerly MicroCo)
The profile described aTwist as co-owned by Cineverse and Banyan Ventures and as not yet launched. Cineverse moved to a passive minority stake in June 2026, and the app launched on 3 September 2026.
- ARD — 'Between the Beats' (Radio Bremen and SR)
The profile listed Between the Beats as scheduled for 25 June 2026. It has been released on TikTok, and OMR reported views falling from about 32,000 on the opening episode to about 4,500 on the finale.
Data tables
- Microdrama market data: estimates by vendor
The NRTA's figure of about 700m Chinese microdrama users came from an earlier, undated briefing. At its briefing of 17 September 2026 the NRTA put the audience at more than 800m.
- Europe microdrama data, country by country
The United Kingdom row said no broadcaster had a vertical drama. Channel 4 commissioned its first microdrama, The Guest List, in October 2026.
- Europe microdrama data, country by country
The Netherlands row said neither RTL nor Talpa had a vertical project. Talpa's KIJK announced on 2 September 2026 that it will open a vertical strand, KIJK Shorts, in early 2027.
Regulation tracker
- MedienInvestVG (federal investment obligation for audiovisual services), draft
An open question gave the first reading as scheduled at item 16 of the Bundestag's sitting of 24 September 2026. The first reading took place that day as item 24, and the bill was referred to committee.
- China, NRTA Order No. 16 — Measures for the Administration of Micro Short Drama Development (微短剧发展管理办法)
An open question asked whether implementing guidance would issue before the measures took effect on 1 September 2026. None had been published by that date.
Background
- A page since withdrawn
The page described Black Forest Studios' MicroVerse and Vertical Minds' EiLiN as planning apps for summer 2026. Black Forest Studios has since announced Snaxx for 1 November 2026, and EiLiN's full launch moved to late summer or autumn 2026.