The number of Chinese accessing the Internet using their mobile phones continues to increase, giving rise to the popularity of mobile apps. (Photo : www.allthingsd.com)
China’s third most popular app, WiFi Skeleton Key, an app that allows users to connect to WiFi hotspots without a password or sign-in, was able to raise $52 million in series A funding after Haitong Securities, Northern Light Venture Capital and other companies invested into the company in return for a 5.2-percent equity, establishing the company’s value at around $1 billion.
QQ Tech reported that Wifi Skeleton Key (named WiFi万能钥匙 in Chinese) became popular as it enables users to access millions of hotspots across the country without the need for credentials.
According to the report, WiFi Skeleton Key works like WiFi Companion, a similar app which raised $9.75 million in series A funding in December last year.
Users of WiFi Skeleton Key can connect to all ChinaNet hotspots, numbering around eight million and scattered all across the country. China Mobile, the world's largest telecoms operator, managed the hotspots, the report added.
To make it possible, the app "crowdsources" login credentials so that when a user logs into a hotspot, his credentials are added to the database, allowing others using the app to gain access to that hotspot. The users, however, cannot view the credentials for the security of the user data, the report said.
The report added that WiFi Skeleton Key now has 270 million monthly active users, making it one of the most popular apps in the country, next to Tencent's WeChat and QQ Messenger. In contrast, WiFi Companion has 18 million monthly active users.
Wandoujia, an app store and mobile search startup, said that similar apps enabling users to connect to WiFi and allows user to avail free Internet are popular in the country, especially among high-end phone users.
