Decentralized social network Bluesky emerged as a major beneficiary of the user exodus from Elon Musk’s X in November 2024, following the U.S. elections. Nearly two years later, however, the would-be X competitor is struggling to sustain its early momentum.
According to data from digital intelligence provider Similarweb, Bluesky’s mobile app recorded 10.4 million monthly active users worldwide in June 2026—a 27.2% drop year-over-year. Daily active users on mobile also declined, falling 25.6% year-over-year in July to approximately 3 million.
These declines suggest that while Bluesky’s app continues to add registered accounts, engagement on its mobile platform is waning. The company has increasingly pivoted toward building out its decentralized infrastructure and expanding beyond the core app experience—an evolution that may be diluting its focus on retaining active mobile users.
In 2026, Bluesky has rolled out federation enhancements, third-party integrations, and broader protocol support, positioning itself as a foundational layer for decentralized social media rather than just a consumer app. However, these strategic shifts come at a cost: as attention spreads across ecosystem projects, the flagship app appears to be losing its competitive edge in a market where user retention is paramount.
via TechCrunch