Vertical Observer

The vertical-drama business, sourced

UPDATED 23 October 2026 216 REPORTS · 172 COMPANIES

Guide

What is a vertical drama (microdrama)?

A vertical drama, also called a microdrama or short drama, is a scripted serial shot in 9:16 portrait format for phone screens and released in episodes of a few minutes. Viewers unlock episodes with coins, subscribe, or watch free with advertising. Its largest market is China, where it is called 短剧 (duanju) and where Omdia placed 83% of 2025 global revenue.

What is a vertical drama?

A vertical drama is serialised, scripted fiction made to be watched on a phone held upright. One written definition comes from a labour agreement. The 2026 memorandum of agreement between SAG-AFTRA and the Alliance of Motion Picture and Television Producers, dated 27 May 2026, describes vertical programs as serialized, scripted dramatic programming produced in a compressed period for exhibition in a vertical 9:16 aspect ratio on a mobile phone platform, typically running 60 to 90 minutes in aggregate in instalments of approximately three minutes or less (SAG-AFTRA and AMPTP).

Two other official documents draw the line in different places. iQIYI's annual report for 2025, filed with the US Securities and Exchange Commission on 16 March 2026, defines micro dramas as titles with episodes of roughly one to five minutes, optimised for vertical viewing (iQIYI filing). China's NRTA Order No. 16, in force since 1 September 2026, defines a micro short drama as running under 20 minutes per episode.

Vertical drama and microdrama are two names for the same format. Trade coverage also calls it short drama, mini drama or microseries; the terms are compared in a separate guide.

How three official documents define the format

How three official documents define the format
DocumentTerm usedEpisode lengthDateBasis
SAG-AFTRA and AMPTP memorandum of agreementvertical programsApproximately three minutes or less per instalment; 60 to 90 minutes in aggregate27 May 2026official
iQIYI annual report (Form 20-F)micro dramasRoughly one to five minutes16 March 2026official
NRTA Order No. 16micro short drama (微短剧)Under 20 minutesIn force 1 September 2026official

How long are microdrama episodes and series?

Operators describe episodes of about 90 seconds to three minutes. Timothy Oh of COL Group, the Shenzhen-listed company that incubated ReelShort's operator Crazy Maple Studio, described episodes of roughly two minutes built around a hook every 90 seconds, in an interview published on 6 April 2026 (COL Group interview). DramaBox titles run 70 to 80 episodes of about 90 seconds. At Kuku TV in India, originals run two to three minutes.

Series are long in episodes and short in total running time. Sasha Tkachenko, head of studio at My Drama, said at Iberseries & Platino Industria in Madrid that seasons run to at least 55 episodes, with total running times of around 60 minutes, The Hollywood Reporter reported on 2 October 2026 (My Drama at Iberseries). Two Bravo-branded originals on Peacock run to roughly 60 episodes of 60 to 90 seconds each, per trade reports (Peacock commissions).

At the same event, Pedro Lopes of Portugal's SPi said viewers typically watch the first five episodes of a series before moving on to another. Retention and conversion in coin-funded apps rest on cliffhanger paywalls, timed offers and streaks. The EU's Digital Fairness Act, announced but not yet tabled as of 23 October 2026, names dark patterns and addictive design in its intended scope.

How do viewers pay for vertical dramas?

Three models run side by side. In the paid-coin model, viewers buy tokens to unlock the next episode; it built the two largest overseas apps, ReelShort and DramaBox (market overview). Subscriptions sit alongside or instead of coins. DramaBox sells a subscription at about $20 a week, and the French app Sweetz sells weekly passes at €4.99 and €6.99 and yearly passes from €39.99, with no coin tier in its App Store listing as of September 2026 (Sweetz pricing).

The third model is free viewing paid for by advertising. ByteDance's Hongguo (红果), the largest microdrama platform in China by users, is free to viewers and ad-supported. QuestMobile put its monthly active users at 356m in May 2026, up 79.1% year on year (estimate; Hongguo at 356m). The revenue lines are set out in how microdrama apps make money.

Where did vertical drama come from?

The format's centre of gravity is China, where it is called 短剧 (duanju), short drama; the regulator's term is 微短剧, micro short drama. Omdia estimates that China accounts for 83% of a global microdrama market it puts at $11bn in 2025 (estimate). Kuaishou has run duanju from 2019 onwards, Douyin since 2022 and Hongguo since 2023. The Hollywood Reporter, covering a Toronto producers' panel on 15 September 2026, described Hollywood as joining a global boom pioneered by China (Toronto panel).

Chinese official figures show the scale. The CNSA white paper put the Chinese market at RMB 50.44bn in 2024, up 34.9% and larger than the film box office (official). At a State Council Information Office briefing on 17 September 2026, the NRTA's Wang Xiaoliang said the 2025 market exceeded RMB 100bn and put the national audience at more than 800m users (NRTA briefing). iiMedia Research puts the 2025 market lower, at RMB 67.79bn (estimate; iiMedia). Neither source states the scope it measures.

Chinese companies built the overseas business as well. ReelShort, launched in August 2022, is operated by Crazy Maple Studio, in which COL Group holds 49.24%. DramaBox, launched in April 2023, is run from Singapore by StoryMatrix, a subsidiary of the Beijing developer Dianzhong. Chinese-origin apps took $1.182bn of $1.27bn in overseas in-app purchase revenue in the first half of 2026, or 93%, on DataEye's estimate (DataEye H1 2026). An earlier US attempt at mobile-only short episodes, Quibi, launched on 6 April 2020 with episodes of up to 10 minutes and shut down in 2020.

Where is vertical drama watched outside China?

Omdia places the United States as the largest single market outside China. Its 2025 estimates of monthly active users put it at 66m, followed by Brazil at 24m and Mexico at 20m; in Europe the United Kingdom leads at 8.2m and Germany follows at 4.4m (estimate). Sensor Tower's published estimate of 2025 in-app purchase spending on short-drama apps is $2.98bn globally, up 115%; the same vendor's figure is also cited as $2.8bn, up 116%, for spending outside China (estimate; market table).

Established media companies have adopted the format. YouTube added seasons and episodes to Shorts on 23 September 2026 and said microdramas on the platform passed 6.5bn views in the first half of 2026 (company; YouTube Shorts series). Channel 4 commissioned its first microdrama, The Guest List, a five-part series made with Sol de Janeiro that premieres on 24 October 2026 on its social channels, Deadline reported on 13 October 2026 (Channel 4). Audience detail by market is in who watches microdramas.

Which are the main vertical drama apps?

Rankings depend on the measure. Download leaders and revenue leaders differ, and revenue is published on different bases: filed company revenue, third-party estimates and company claims are not interchangeable (leaderboard notes).

Sensor Tower data published by Adjust ranked the top ten apps by in-app purchase revenue in the first quarter of 2026 as DramaBox, ReelShort, NetShort, DramaWave, GoodShort, ShortMax, FlickReels, My Drama, StardustTV and FlareFlow (estimate). FreeReels, owned by Kunlun Tech, led overseas downloads in the first half of 2026 with more than 218m, on DataEye's estimate. The full tables are in short drama app rankings and the rankings table.

Selected vertical drama apps, one published figure each

Selected vertical drama apps, one published figure each
AppOperatorOriginFigurePeriodBasis
ReelShortCrazy Maple Studio; COL Group holds 49.24%ChinaRevenue RMB 5.72bn (about $805m), +97%, per COL Group filingFY2025official
DramaBoxStoryMatrix, owned by DianzhongChinaRevenue about $530m, Sensor TowerFY2025estimate
Hongguo (红果)ByteDanceChina356m monthly active users, QuestMobileMay 2026estimate
FreeReels and DramaWaveKunlun TechChinaMonthly gross billings above $65m, half-year reportEnd of June 2026official
My DramaHolywaterUkraineAnnual recurring revenue about $70m; Holywater has also cited about $100m for 2024, which conflicts with itJune 2025company
Kuku TVKuku TechnologiesIndiaRevenue ₹242 crore (about $28m), +175%FY2025official
PineDramaByteDanceChinaMore than 100m cumulative downloads, Sensor TowerSeptember 2026estimate

Frequently asked questions

What does microdrama mean?

Microdrama is another name for vertical drama: scripted, serialised fiction made for phones held upright, released in short episodes and sold episode by episode with coins, by subscription, or free with advertising. iQIYI's 2025 annual report defines micro dramas as titles with episodes of roughly one to five minutes, optimised for vertical viewing. In China the format is called 短剧 (duanju).

How long is a microdrama episode?

Usually a few minutes or less. The 2026 SAG-AFTRA and AMPTP memorandum of agreement describes instalments of approximately three minutes or less, and iQIYI's 2025 annual report defines episodes of roughly one to five minutes. China's NRTA Order No. 16 covers episodes under 20 minutes. DramaBox titles run 70 to 80 episodes of about 90 seconds.

Where did vertical drama start?

The Hollywood Reporter has described the format as a global boom pioneered by China, where it is called 短剧 (duanju). Kuaishou has run duanju since 2019 and Douyin since 2022. China remains the largest market: Omdia placed 83% of 2025 global microdrama revenue there. Chinese companies also built the overseas business, taking 93% of overseas in-app purchase revenue in the first half of 2026, on DataEye's estimate.

What is duanju?

短剧 (duanju) is the Chinese term for short drama, the format known in English as vertical drama or microdrama. China's broadcast regulator uses 微短剧, micro short drama, and its Order No. 16 defines it as running under 20 minutes per episode. Kuaishou renders duanju as "short play" in its Hong Kong exchange results for the first half of 2026. For 2025, the NRTA put the Chinese market above RMB 100bn and iiMedia Research at RMB 67.79bn.

What is the biggest vertical drama app?

It depends on the measure. Sensor Tower data published by Adjust ranked DramaBox first and ReelShort second by in-app purchase revenue in the first quarter of 2026. ReelShort's operator recorded revenue of RMB 5.72bn, about $805m, in FY2025, per a COL Group filing. Hongguo leads on users, at 356m monthly active users in China in May 2026 on QuestMobile's estimate. FreeReels led overseas downloads in the first half of 2026 with more than 218m, on DataEye's estimate.

What aspect ratio do vertical dramas use?

9:16, the portrait shape of a phone screen held upright. The 2026 SAG-AFTRA and AMPTP memorandum of agreement defines vertical programs by exhibition in a vertical 9:16 aspect ratio on a mobile phone platform. Some producers shoot wider and crop: Germany's Black Forest Studios says series for its Snaxx app, due to launch on 1 November 2026, are shot in 16:9 and cropped to 9:16, leaving a horizontal version for television and licensing.

Sources