
Sensor Tower State of AI 2026 Report: Global Time Spent on Generative AI Apps Projected to More Than Double Year-Over-Year
New report reveals record consumer spending, ChatGPT's historic mobile milestone, and AI's expanding role in shopping, advertising, and app development
SAN FRANCISCO, June 16, 2026 /PRNewswire/ -- Sensor Tower, a leading provider of data on the digital economy, today released its State of AI 2026 report, delivering a comprehensive look at the explosive growth in engagement, spending, and advertising on Generative AI across mobile apps and the web. The report reveals that global time spent on Generative AI apps is projected to more than double year-over-year (YoY) in H1 2026, climbing from 17.2 billion hours in H1 2025 to 36 billion hours in H1 2026.
ChatGPT continues to lead the AI Assistant market, becoming the fastest mobile app ever to reach one billion monthly active users in May 2026. The app achieved the milestone in just three years—faster than TikTok, YouTube, and Instagram. More broadly, the market remains highly concentrated, with ChatGPT, DeepSeek, and Google Gemini accounting for nearly 90% of total time spent across AI Assistant apps in Q1 2026. At the same time, competition is intensifying. ChatGPT's True Audience market share, which measures unique users across mobile app and web, fell below 50% for the first time in March 2026 as rivals such as Google Gemini and Claude gained traction. Claude has experienced explosive growth, led by a strong web presence, and its True Audience share in the US has more than tripled.
"Sensor Tower data shows the rapid adoption of AI by marketers, advertisers, and app developers across sectors in an effort to better serve consumers and drive engagement," said Oliver Yeh, Co-Founder and CEO of Sensor Tower. "US app downloads driven by 'AI' keyword searches have skyrocketed over the past two years, and apps featuring 'AI' in their descriptions are on track to reach 10 billion global downloads in H1 2026 alone. "These numbers make it clear that AI is no longer just reshaping how technology is built, it's reshaping how consumers discover, engage, and spend."
Consumer spending on AI is hitting record highs, driven by a shift toward premium, utility-driven subscriptions. Global in-app purchase revenue from AI apps is expected to surpass $4 billion in H1 2026, an increase of 36% over the second half of 2025. This monetization trend is evident at the individual app level as well: Claude's average revenue per user (ARPU) on mobile in the United States climbed from less than $0.50 in September 2025 to $2.76 in May 2026.
The report also reveals that AI is transforming how people shop. Gen AI referrals to shopping websites increased across every major retail category between Q4 2024 and Q1 2026, highlighting the growing role of AI assistants in product discovery. The impact on conversion is measurable: Amazon shoppers utilizing its AI assistant, Rufus, convert at nearly double the rate of non-users, underscoring the commercial value AI is delivering at scale.
Key highlights from the report include:
- AI Engagement Doubles: Global time spent on Gen AI apps projected to reach 36 billion hours in H1 2026, up from 17.2 billion hours in H1 2025.
- Record Revenue: AI app in-app purchase revenue on track to surpass $4 billion in H1 2026, up 36% half-over-half.
- ChatGPT's Historic Milestone: ChatGPT became the fastest mobile app ever to reach 1 billion monthly active users, achieving the milestone in just three years.
- Shifting Market Share: ChatGPT's true audience share fell below 50% for the first time in March 2026 as Google Gemini and Claude gained ground.
- AI Reshapes Shopping: Gen AI referrals to retail sites grew across every major category; Amazon Rufus users convert at nearly 2x the rate of non-users.
- AI Ad Spend Surges: US digital ad spend on AI-themed creatives reached $1.3B (Jan–May 2026), up 48% YoY.
- AI Features Are Table Stakes: 200,000+ apps now mention AI in their descriptions; these apps are on track for ~10B downloads in H1 2026 (+25% YoY).
- Web Engagement Scales: Gen AI websites generated 67B+ visits and ~23B hours in Q1 2026, up 28% and 41% YoY respectively.
To read the full State of AI 2026 report, visit sensortower.com.
About Sensor Tower
Sensor Tower is a global provider of digital intelligence solutions, empowering companies to understand consumer behavior and market performance across mobile apps, digital platforms, and gaming ecosystems. Headquartered in San Francisco, Sensor Tower's insights are trusted by more than 2,500 enterprises worldwide. For more information, visit sensortower.com.
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