Aftershock of KakaoTalk Update: NateOn Emerges as Surprise No.1 Alternative Messenger

Users protest KakaoTalk revamp, claiming “messenger identity lost”
$11.6 billion in market cap erased within a week
NateOn and Line downloads surge, climbing into top app market rankings

The sweeping update of KakaoTalk has triggered seismic shifts in the smartphone online messaging application market. Disgruntled users, dissatisfied with the overhaul, have turned to alternative messengers, propelling NateOn and Line—which had long focused solely on basic messaging functions—into the spotlight. NateOn, which had not even ranked within the top 100 on Apple’s App Store and Google’s Play Store, soared to the top spot just a week after KakaoTalk’s revamp, while Line also surged into the top ranks, benefiting from the backlash.

NateOn No.1 on Google Play, Line close behind at No.2

According to global mobile data analytics platform Sensor Tower on the 1st, NateOn topped the Apple App Store’s social networking download chart as of the previous afternoon. Having previously languished outside the top 100, NateOn climbed to 70th on September 24, advanced to 60th the following day, and then vaulted to first place on the 26th. On the Google Play Store, the rankings similarly skyrocketed: NateOn, which was ranked 71st in the communications category at the beginning of last month, climbed to 7th as of September 30.

Line’s rankings also advanced rapidly. While it had held within the top 5 on the App Store, Line had fallen to 10th earlier last month, before rebounding on the 24th. On the 28th, it even overtook NateOn to briefly seize the top spot, and now holds second place. On the Play Store, Line rose to 5th on the 24th and has remained at 2nd since the 27th. KakaoTalk, by contrast, slipped from 13th at the start of last month to 17th on the App Store by September 30, though it continues to cling to the No.1 position on the Play Store.

One-star reviews flood KakaoTalk following update

These shifts reflect users’ migration to alternative messengers amid widespread dissatisfaction with KakaoTalk’s overhaul. On September 24, Kakao introduced a sweeping redesign aimed at evolving KakaoTalk from a simple messenger into a platform integrating artificial intelligence (AI) and social community functions. The “Friends” tab, previously an alphabetical contact list, was transformed into a feed-style interface similar to Instagram, where updated profile photos and posts appear in a timeline format.

User response, however, was overwhelmingly negative. While Kakao anticipated that initial discomfort would subside as users adapted to the new features, social media and online forums quickly spread “how to block KakaoTalk auto-update” guides, and app marketplaces were flooded with one-star reviews. Criticism mounted that KakaoTalk had lost its core identity as a messenger. The controversy spilled over into financial markets, with Kakao’s share price plunging more than 5% in the week following the update. In market capitalization terms, approximately $11.6 billion was wiped out.

By September 28—just four days after the revamp—Kakao was forced to respond, announcing that it was “actively reviewing improvement measures based on user feedback.” The next day, the company conceded further, stating it would “restore the Friends tab’s initial screen to its pre-update format” and “apply additional user-driven improvements by year-end.” Effectively, Kakao had raised the white flag in the face of fierce consumer backlash. The company pledged: “We will continue to actively listen and respond to feedback to ensure users can conveniently enjoy KakaoTalk.”

NateOn capitalizes on backlash amid declining user base

NateOn, reaping unexpected benefits from the turmoil, moved quickly to leverage the situation. On September 29, operator NateComms shared a “Complete Guide to NateOn” on the official Nate News thread, emphasizing that the platform remained focused exclusively on uncluttered messaging, free from advertisements. “We have quietly dedicated ourselves to core messenger functions,” the company stated, adding: “It is good to see you again, and thank you for staying with us all this time.”

NateOn once held the top market share in Korea prior to the smartphone era of the 2010s. Yet as KakaoTalk became the de facto national messenger and foreign platforms such as Instagram expanded, NateOn’s presence steadily faded. Last year, its monthly active users (MAU) fell to 390,000, slipping below 400,000 for the first time. At the time, industry observers warned that a survival strategy was urgently needed as user attrition accelerated.

In response, NateOn pivoted toward a niche positioning as a workplace and group project tool, highlighting functions such as team rooms. The service integrated with global video conferencing platform Zoom and embedded an OpenAI ChatGPT-based AI chatbot, while streamlining underused features. In August last year, NateOn terminated its shopping tab service, and earlier in December 2023, it shut down its in-app gift coupon service.