Bilibili Inc. (BILI): Business Model Canvas [Dec-2025 Updated]

You're digging into the engine room of Bilibili Inc. (BILI) because, honestly, the story isn't just about video views anymore; it's about a successful financial pivot. After years of heavy investment, the numbers from late 2025 show a company that is finally clicking, balancing a massive user base of 117.3 million Daily Active Users with a healthier revenue mix where Advertising and Value-Added Services make up the bulk of income. If you want to see exactly how they are monetizing that loyal, Gen Z+ community-from creator support to AI ad targeting-and where the costs are being managed, you need to see the full Business Model Canvas breakdown below. It defintely paints a picture of a company finding its profitable stride.

Bilibili Inc. (BILI) - Canvas Business Model: Key Partnerships

You're looking at the ecosystem Bilibili Inc. builds around its platform, which is really about who they work with to keep the content flowing and the money coming in. These alliances are crucial for scaling their unique community.

The relationship with major tech players like Tencent Holdings remains foundational, especially for infrastructure and content acquisition. For instance, in mid-2025, Bilibili Inc. and Tencent both secured a raft of non-fiction titles from All3media International, showing continued collaboration in content licensing. This kind of partnership helps Bilibili Inc. secure premium content for its users.

The creator community is the engine, naturally. The growth in creator scale is impressive, though monetization metrics vary. By the end of Q1 2025, the number of creators with over 1,000, 10,000, 100,000, and 1 million followers all grew by more than 20% year-over-year. Still, the direct monetization figures are what really matter for the bottom line.

Here's a look at the key partnerships driving the business, mapping out the scale and recent performance where we have the numbers:

• - Tencent: Strategic alliance for cloud computing and payment services.
• - Content Creators (UPs): Over 1.5 million creators monetized in Q1 2025.
• - CCTV: Collaboration for the 2025 Chinese New Year Gala, boosting brand reach.
• - Mobile Game Developers: Licensing and co-publishing agreements for key titles.
• - Advertisers/Brands: Partnerships driving 23% YoY ad revenue growth in Q3 2025.

The commercial side relies heavily on advertisers, who are clearly seeing value in the young user base. In Q3 2025, advertising revenues hit RMB 2.57 billion, marking that 23% year-over-year growth. This acceleration shows advertisers are allocating bigger budgets to the platform.

For mobile games, the picture is more complex. While Bilibili Inc. continues to sign licensing agreements, including securing domestic publishing rights for titles like Fall Guys: Ultimate Knockout in the past, the segment faced headwinds recently. In Q3 2025, game revenues actually decreased by 17% year-over-year, though the self-developed game 'Escape from Duckov' sold over 3 million copies globally, showing in-house development potential.

The collaboration with CCTV for the 2025 Chinese New Year Gala was a significant brand play, evidenced by a one-off marketing expense increase noted in Q1 2025 results, which helped bring the Bilibili Inc. name to a broader audience.

Let's put some of these partnership performance indicators into a clearer view:

Also, looking at creator monetization channels in the first half of 2025, creators monetizing through Sparkle Ads and video/livestream e-commerce grew 19% and 49% year-over-year, respectively. That's a strong signal for the creator economy on the platform.

Finance: draft 13-week cash view by Friday.

Bilibili Inc. (BILI) - Canvas Business Model: Key Activities

You're looking at the core engine of Bilibili Inc., the activities that drive its unique position in the Chinese online entertainment space as of late 2025. It's a mix of content cultivation, high-margin product development, and heavy tech investment.

Operating the PUGV (Professional User Generated Video) Content Ecosystem

This is the heart of the business, where user-generated content (UGC) and professionally-generated video (PUGV) meet. The activity here is less about just hosting and more about fostering an environment where users spend significant time. For the third quarter of 2025, the platform saw its average daily active users (DAUs) reach 117.3 million, a 9% year-over-year increase. Monthly active users (MAUs) stood at 376 million. This massive base is what fuels the entire ecosystem.

The focus remains on quality and depth of consumption, not just volume. Watch time for videos longer than 5 minutes increased nearly 20% year-over-year in Q2 2025, proving users are settling in for longer-form, meaningful content. Furthermore, over 70% of the videos on the platform still originate from individual creators, showing the core UGC engine is running strong.

Developing and Publishing High-Margin Mobile Games

Developing and publishing mobile games is a crucial, high-margin activity that diversifies revenue away from pure advertising. While the segment saw a sequential dip, the success of specific titles demonstrates the capability. For instance, the self-developed game Escape from Duck Hof sold over 3 million copies and maintained approximately 96% positive Steam reviews. However, the overall mobile games revenue for Q3 2025 was RMB 1.51 billion, representing a 17% year-over-year decline, which management is actively addressing with new pipeline titles.

To give you a clearer picture of the business mix as of Q3 2025, here's how the key user and financial metrics stack up:

Integrating AI/GenAI for Ad Targeting and Content Recommendation Algorithms

This is where Bilibili Inc. is putting significant technological muscle to work to improve monetization efficiency. The integration of AI/GenAI directly impacts the advertising segment, which showed strong performance in Q3 2025, growing 23% year-over-year to RMB 2.57 billion. This acceleration is directly tied to tech improvements.

Specifically, the company rolled out multimodal LLMs and AIGC creative tools. In Q3 2025, these tools were reportedly used in over 50% of performance ad materials, driving better targeting and automation. Even earlier in the year, in Q2 2025, AI-powered advertising sales had already risen 30% year-over-year, showing this is a consistent growth driver.

Maintaining and Enhancing the Core Community Culture and User Engagement

The activity of maintaining culture is evidenced by the platform's ability to keep users glued to the screen, which translates directly into monetization potential. The average daily time spent per user hit a record high of 112 minutes in Q3 2025, which is 6 minutes more than the prior year. This deep engagement supports the growth in paying users.

The willingness of the community to spend is a key metric here. Monthly paying users (MPUs) reached a record 35 million in Q3 2025, marking a 17% increase year-over-year. This shows that the core community culture, which encourages spending on memberships and fan charging, is not only intact but strengthening its conversion power.

• The platform generated approximately RMB 2 billion in operating cash flow in Q3 2025.
• Cash and equivalents totaled RMB 23.49 billion as of September 30, 2025.
• The company announced a share repurchase program of up to US$200 million.

Bilibili Inc. (BILI) - Canvas Business Model: Key Resources

You're looking at the core assets Bilibili Inc. is using to power its platform and drive growth as of late 2025. These aren't just line items; they are the engines of the business.

Massive User Base

The sheer scale of the community is the first, most critical resource. Bilibili Inc. reported an average of 117.3 million Daily Active Users (DAUs) for the third quarter of 2025. That's a 9% year-over-year increase, showing continued, solid growth in the core audience. Honestly, this user base is what makes the rest of the model work.

Engagement metrics are just as important as the raw DAU number. Here's a quick look at the user engagement snapshot from Q3 2025:

• - Daily Active Users (DAUs): 117.3 million.
• - Monthly Active Users (MAUs): 376 million.
• - Monthly Paying Users (MPUs): A record 35 million, up 17% year-over-year.
• - Average Daily Time Spent: Reached a record high of 112 minutes.

High-Quality PUGV Content Library

The platform's core differentiator is its library of PUGV (Professionally User-Generated Video) content. This library is the moat, built over years by empowering creators. It's the asset that keeps those 117.3 million DAUs spending 112 minutes a day on the platform. This content fuels the advertising engine and supports IP development.

To show the upside of this content ecosystem, consider the success of their self-developed game, Escape from Duck Hof, which sold over 3 million copies. That's a direct monetization path from in-house IP and content development expertise.

Financial Stability and Liquidity

Having a strong balance sheet means Bilibili Inc. can weather near-term volatility and invest in long-term assets like IP and technology. As of September 30, 2025, the company held RMB 23.49 billion in cash, deposits, and short-term investments. That's roughly US$3.30 billion, giving them significant operational flexibility.

This liquidity is supported by improving operational performance. In Q3 2025, they generated approximately RMB 2 billion in operating cash flow. This discipline in cash management is key, especially when you consider they are still executing on a share repurchase program, having bought back US$116.4 million worth of securities under the program as of that date.

Proprietary IP Ecosystem

Developing and controlling intellectual property is a strategic resource for long-term, high-margin monetization beyond just advertising. Bilibili Inc. is actively expanding this. For example, they recently entered a comprehensive cooperation framework agreement with Beijing Jinjiang Original Networking Technology Co., Ltd. This deal allows Bilibili Inc. to acquire copyrights for various works, including literature, for adaptation, dissemination, advertising, and distribution.

This IP strategy is designed to create a flywheel effect, turning popular content into games, merchandise, and more. Here's a snapshot of the Q3 2025 operational and financial strength supporting these resource investments:

Finance: draft 13-week cash view by Friday.

Bilibili Inc. (BILI) - Canvas Business Model: Value Propositions

You're looking at the core value Bilibili Inc. delivers to its users and partners as of late 2025. It's all about that unique, sticky ecosystem.

High-Quality Content: A platform for mid-to-long-form PUGV content consumption.

Bilibili Inc. keeps its users deeply engaged with its video library. The platform's focus on Professionally User Generated Video (PUGV) and Occupationally Generated Video (OGV) content supports high time-in-app metrics.

Here are some key engagement numbers from the third quarter ended September 30, 2025:

The platform's gross margin reached 36.7% in Q3 2025, marking the 13th quarter of consecutive growth, which suggests content quality and consumption are translating efficiently into platform value.

Strong Community Culture: Unique, loyal ACG (Anime, Comic, and Games) focused community.

The value proposition here is the culture itself, which is heavily rooted in ACG fandom and characterized by high user loyalty and a specific demographic profile. This loyalty is a major asset.

The community metrics show a deeply entrenched user base:

• Average user age as of April 2025 was 26.
• 78.7% of users are under the age of 30.
• Nearly 70% of active users are China's Gen Z and late millennials (born after 1990).
• Premium membership auto-renewal rate stands at 80%.

The gaming community remains a core pillar, with gaming MAUs reaching 123 million in Q3 2024, representing 35% of total MAUs at that time.

Creator Monetization: Diverse tools including fan-charging, live streaming, and ad-sharing.

Bilibili Inc. supports its creators with multiple avenues to earn, which in turn fuels the content pipeline. The platform's Huahuo sponsored content platform maintains a low commission rate of 5% for creators.

The success of creator tools is evident in past performance:

• The fan charging program saw creators' total earnings increase by nearly 500% in 2024.

The platform's commitment to creators helps maintain a vibrant ecosystem, which is critical for content supply.

Targeted Advertising: AI-driven ad tools for effective brand reach to Gen Z+.

Advertisers value Bilibili Inc. for its access to the highly sought-after, high-spending Gen Z cohort. The platform has been refining its advertising technology to improve reach and conversion.

Advertising performance in recent periods demonstrates this value:

The advertising segment's growth is outpacing total revenue growth, with Q3 2025 advertising revenue up 23% YoY while total revenue was up 5% YoY. This segment, along with gaming, is a primary driver of the company's improved profitability, with adjusted net profit surging 233% YoY in Q3 2025.

Bilibili Inc. (BILI) - Canvas Business Model: Customer Relationships

The relationship Bilibili Inc. cultivates with its users is deeply rooted in community and mutual value exchange, moving beyond simple transactional interactions.

• - Community-Driven: The platform maintains a highly engaged core user base, with the twelve-month retention rate for official members remaining around 80% as of Q2 2025. The total number of official members reached 270 million, showing an 11% year-over-year rise.
• - Premium Membership: Loyalty is solidified through paid tiers, where premium memberships totaled 23.7 million at the end of Q2 2025. A significant portion, over 80% of these members, are on annual or auto-renewal plans, indicating strong commitment to the platform's recurring value.
• - Fan Charging: Direct user support for creators demonstrates a robust creator-fan relationship, with the fan charging program growing by over 100% year-over-year in Q2 2025.

This ecosystem of engagement is quantified by several key metrics from the second quarter of 2025:

Dedicated Support is evident in the mechanisms that allow users to directly reward creators, which is the core of the fan charging program mentioned above. This system acts as a dedicated pathway for fans to financially support the content providers they value most, fostering a direct, monetizable relationship between the creator and their most dedicated audience segments. This structure helps creators gain fans and receive monetary rewards directly from their community.

Bilibili Inc. (BILI) - Canvas Business Model: Channels

You're looking at how Bilibili Inc. gets its content and services in front of its audience as of late 2025. The channels are where the community meets the commercialization efforts, and the numbers show a clear focus on digital reach supported by high-impact physical activations.

Bilibili Mobile App and Website: Primary content distribution and interaction platform. This is the core. The platform's reach continues to expand, showing deep user commitment. For the third quarter of 2025, Daily Active Users (DAUs) reached 117.3 million, marking a 9% increase year-over-year. Monthly Active Users (MAUs) grew to 376 million, an 8% year-over-year gain. The stickiness of the platform is evident, with the average daily time spent hitting a record high of 112 minutes. This engagement directly fuels monetization across all other channels.

The advertising revenue, which flows directly from the platform's reach, saw strong performance. For the third quarter of 2025, advertising revenues surged by 23% to RMB 2.57 billion (or $361.0 million). This demonstrates the platform's ability to translate high engagement into commercial value for advertisers.

Live Streaming: Integrated feature for real-time interaction and monetization. Live broadcasting is a key component within the broader Value-Added Services (VAS) segment. In the first quarter of 2025, revenues from VAS, which includes live broadcasting and other paid services, increased by 11% year-over-year to RMB 2.81 billion ($386.9 million). This segment shows consistent growth as the community engages in real-time content consumption and gifting.

Mobile Game Stores: Distribution of proprietary and licensed mobile games. This channel has been a significant growth driver, particularly through exclusive titles. Mobile games revenue showed explosive growth in the first half of 2025. In Q1 2025, this revenue surged by 76% year-over-year to RMB 1.73 billion. While Q2 2025 saw a slight moderation in the growth rate, revenue still rose 60% year-over-year to RMB 1.61 billion. The success of the exclusive title San Guo: Mou Ding Tian Xia is notable, contributing to 32 million monthly paying users for that game by Q2 2025.

Offline Events: Large-scale events like Bilibili World for IP and brand extension. These events serve as crucial physical touchpoints for the digital community. Bilibili World 2025, held in Shanghai, was a massive undertaking, utilizing all eight halls of the National Exhibition and Convention Center (NECC). The event was expected to attract approximately 0.3 million attendees over three days. The scale included over 700 exhibitors and a lineup of over 1,000 global guests and content creators.

Here's a quick view of how these channels performed based on the latest available segment data:

The platform's ability to drive user engagement is directly linked to the performance of its commercial channels. For instance, the 17% increase in Monthly Paying Users to 35 million in Q3 2025 supports both the VAS/Live Streaming and the Mobile Game segments.

The distribution strategy relies heavily on digital immediacy, but the physical events are significant amplifiers:

• Bilibili Mobile App and Website: Primary content distribution and interaction platform.
• Live Streaming: Integrated feature for real-time interaction and monetization.
• Mobile Game Stores: Distribution of proprietary and licensed mobile games.
• Offline Events: Large-scale events like Bilibili World for IP and brand extension.

The growth in mobile game revenue, up 76% in Q1 2025, shows the effectiveness of the mobile game store distribution channel when a hit title is secured. Finance: draft 13-week cash view by Friday.

Bilibili Inc. (BILI) - Canvas Business Model: Customer Segments

You're looking at the core audience Bilibili Inc. serves as of late 2025, and the numbers show a deeply engaged community translating into real financial value. The primary segment is China's Gen Z+ Audience, the core demographic driving platform activity. This group's commitment is clear: average daily time spent hit a record 112 minutes in Q3 2025.

Beyond the consumers, the platform relies on two other critical groups. Content Creators (UPs) are the key suppliers of high-quality PUGV (Professionally User Generated Video) content, though specific creator count data isn't the focus here, the user engagement metrics reflect their success. Performance Advertisers represent the brands that pay for access to this captive audience, with advertising revenue showing strong growth. Also, the Monthly Paying Users (MPUs) are a vital segment, representing users who directly fund premium experiences.

Here's a look at the scale of the user base driving these segments in Q3 2025:

• - China's Gen Z+ Audience: Core demographic, with average daily time spent at a record 112 minutes in Q3 2025.
• - Content Creators (UPs): Key suppliers of high-quality PUGV content; nearly 70% of videos come from individual creators based on prior 2025 data.
• - Performance Advertisers: Brands seeking effective, AI-targeted ad placements; advertising revenue reached RMB 2.57 billion (US$361.0 million) in Q3 2025.
• - Monthly Paying Users (MPUs): 35 million users paying for VAS and premium content in Q3 2025.

To give you a clearer picture of the user base size that supports these segments, look at these Q3 2025 metrics:

The platform's core is definitely young; based on 2025 analysis, nearly 78.7% of Bilibili Inc. users are under the age of 30, which is a powerful concentration for brands targeting that specific demographic. Also, the willingness to pay is growing fast, as MPUs increased by 17% year-over-year to reach that 35 million mark. This shows the community is not just watching; they are converting into paying customers for value-added services (VAS) and premium content.

Bilibili Inc. (BILI) - Canvas Business Model: Cost Structure

You're looking at the expense side of Bilibili Inc.'s operations as of late 2025, which really shows where the company is spending to fuel its community and platform growth. Honestly, managing these costs while scaling revenue is the key challenge for any platform this size.

Here's a breakdown of the major cost components based on the second quarter of 2025 results:

• - Cost of Revenues: RMB 4.7 billion in Q2 2025, primarily content costs and revenue sharing.
• - Sales & Marketing Expenses: RMB 1 billion in Q2 2025, stable YoY, fluctuating with game promotion cycles.
• - R&D Expenses: RMB 866 million in Q2 2025, a 3% YoY decrease due to efficiency improvements.
• - Bandwidth and Server Costs: Necessary for supporting high user traffic and video streaming.

The Cost of Revenues, which directly ties to the content Bilibili hosts and shares, saw an increase, but the operating expenses show a real push for efficiency. For instance, R&D spending actually dropped slightly year-over-year, which is a strong signal of cost discipline.

Here's a closer look at the key expense line items from Q2 2025, showing the actual figures reported:

The platform operations, which cover things like bandwidth and servers, are embedded within the Cost of Revenues, but the overall stability of Total Operating Expenses at RMB 2.42 billion, despite a 20% revenue increase, is what drove the gross profit margin up to 36.5% in Q2 2025. That margin improvement is what you want to see; it means the cost to serve each new dollar of revenue is getting cheaper, or at least not growing as fast.

You can see the focus on efficiency in how the operating expenses are managed:

• S&M as a percentage of sales dropped to 14.3%.
• R&D as a percentage of sales dropped to 11.8%.
• G&A as a percentage of sales dropped to 6.9%.

Finance: draft 13-week cash view by Friday.

Bilibili Inc. (BILI) - Canvas Business Model: Revenue Streams

You're looking at how Bilibili Inc. actually makes its money, which is key to understanding its valuation, so let's break down the revenue streams based on late 2025 figures, primarily drawing from the strong Q2 2025 performance and the momentum seen into Q3 2025.

The revenue mix shows a clear diversification effort, though some segments are clearly leading the charge. Here's how the components stacked up in Q2 2025, giving you a solid baseline:

The total net revenues for Bilibili Inc. in Q2 2025 hit RMB 7.34 billion, which was a 20% increase year-over-year. This growth really shows the platform is maturing its monetization efforts.

Here's the detail on those streams:

• - Value-Added Services (VAS): 39% of Q2 2025 revenue, from premium memberships and live broadcasting.
• - Advertising: 33% of Q2 2025 revenue, growing 23% YoY in Q3 2025.
• - Mobile Games: 22% of Q2 2025 revenue, driven by exclusive titles like San Guo: Mou Ding Tian Xia.
• - IP Derivatives and Others: 6% of Q2 2025 revenue, including e-commerce and IP licensing.

The Advertising segment is showing real strength; that 23% YoY growth in Q3 2025, reaching RMB 2.57 billion, is a huge positive signal that their AI-powered targeting is working to attract advertisers targeting young consumers. Still, you have to watch the Mobile Games segment; while it surged 60% in Q2 2025 thanks to that exclusive title, the reported 17% decline in Q3 2025 shows the risk of relying too heavily on a single hit game. VAS remains the largest component, showing the community is willing to pay for premium access and live content.

Finance: draft 13-week cash view by Friday.