The news: GenAI app users are branching out beyond ChatGPT. Just six months ago, OpenAI’s large language model (LLM) held a 57% share of US daily active users (DAUs), but that number has since fallen to 42%, per Apptopia. Worldwide, ChatGPT lost a similar share to reach 57%.

• Google’s Gemini made the biggest gains in DAUs in the past six months, from 13% share in the US and 9% globally to 25% across the board.
• Perplexity’s share decreased to below 2% in the US and 4% worldwide, and Microsoft's Copilot is holding steady at 10%.
• Anthropic’s Claude holds just 4% US share (an increase from 1.5%).

Claude’s churn rate has improved dramatically; it’s now tied with xAI’s Grok for second-lowest at 36%. Only ChatGPT’s is better at 25%.

“The churn data is the real signal here,” Apptopia vice president of research Tom Grant said. “Downloads can spike from a product launch or a viral moment, but a 20 percentage-point improvement in churn … means users are finding sustained value.”

Trendspotting: The genAI market is fragmenting as AI companies and models make headlines and improve their capabilities.

• Anthropic’s Super Bowl ads gave its model an 11% boost in DAUs.
• Claude passed ChatGPT in the past week to reach the No. 1 position in US and Canada iOS app downloads after it was blacklisted by the US Department of Defense (DoD).
• ChatGPT’s uninstalls, meanwhile, have spiked 200% since OpenAI announced a deal with the DoD, per Sensor Tower.

More than half (56%) of US consumers would prefer that brands remain neutral on political issues, per Ipsos—a challenge when a government is involved. The same share said they would be less likely to buy from a brand that takes a political stance they disagree with.

Recommendations for brands: ChatGPT will likely continue to lose market share to Gemini in large part due to Google’s massive reach. Brands must choose the AI that offers the greatest integrations and value for the money while also considering the potential impact on brand equity, especially if chatbots are consumer-facing.

There are two paths to take here. Align with the genAI providers that mirror brand values and market the brand to that effect, or remain neutral and keep LLM decisions quiet. For many brands, the higher risk lies in publicizing ties with genAI providers that consumers might perceive as polarizing.

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