Zoho’s WhatsApp Rival Arattai Loses Steam, Drops Out of India’s Top 100 Apps

Contents

Arattai’s meteoric rise and sudden decline Privacy-focused platform with local data storage User retention now the key focus The uphill battle against WhatsApp’s dominance Zoho’s continued push for ‘Made in India’ digital tools

After topping the charts in mid-October, Zoho’s homegrown messaging app Arattai has witnessed a steep fall in rankings and downloads, underscoring the challenge of competing with WhatsApp’s deep-rooted dominance in India.

Barely a month after soaring to the top spot on India’s app charts, Arattai, the messaging platform developed by Chennai-based software major Zoho, has dropped out of the top 100 apps on both Google Play and Apple’s App Store. As of November 4, the app ranked 105th on Google Play and 123rd on the App Store, a sharp decline from its peak in mid-October.

When factoring in combined rankings of apps and games, Arattai stood at 128th on iOS and 150th on Android, signalling waning momentum after an initial surge in popularity. source:Moneycontrol

Arattai’s meteoric rise and sudden decline

Arattai—meaning “casual talk” or “chit-chat” in Tamil—was originally launched in 2021 amid public outrage over WhatsApp’s controversial privacy policy updates. It quickly gained attention as a privacy-first, made-in-India alternative to WhatsApp.

The app’s popularity surged in October 2025, when downloads skyrocketed to 13.8 million, up from 2.63 million in September. However, the enthusiasm was short-lived. By early November, downloads had plummeted to just 195,519, highlighting a steep fall in new user interest.

Monthly Active Users (MAUs) followed a similar pattern, climbing from 1.17 million in September to 4.35 million in October, before slipping slightly to 4.09 million in November.

Industry analysts attribute the October spike to the government’s call for adopting swadeshi products, coupled with endorsements from several ministers including Education Minister Dharmendra Pradhan, IT Minister Ashwini Vaishnaw, and Commerce Minister Piyush Goyal.

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Privacy-focused platform with local data storage

Zoho has consistently promoted Arattai’s privacy-first approach as its biggest differentiator. The company stores all user data within India and has implemented end-to-end encryption for voice and video calls.

However, messages are not yet end-to-end encrypted, a feature WhatsApp already offers. In an interview last month, Zoho founder Sridhar Vembu confirmed that the company plans to introduce message encryption soon, adding that users can currently rely on ‘secret chat’ mode for secure conversations.

“Like any product, we ensured the technology is hosted in India for data sovereignty and compliance requirements,” said Zoho CEO Manu Vembu, adding that the team had stabilized the platform after the initial spike in sign-ups.

Vembu explained that during October, Arattai saw a 100x jump in user registrations, which caused temporary server capacity issues. “The first few days were difficult, but we’ve since brought things under control,” he said.

User retention now the key focus

Despite the slowdown, Zoho’s leadership remains optimistic about Arattai’s long-term potential. According to Manu Vembu, the team is now focusing on user retention and feature expansion rather than chasing download numbers.

“Active users, meetings, and voice calls are all growing daily, which shows good retention. That’s our focus—high retention drives word-of-mouth growth,” Vembu said.

He added that new product updates and feature rollouts are in the pipeline to deliver more value to users and maintain engagement levels.

The uphill battle against WhatsApp’s dominance

Arattai’s decline underscores the formidable challenge of breaking WhatsApp’s monopoly in India’s messaging ecosystem. With over 500 million users, WhatsApp has become deeply ingrained in personal, business, and government communications.

Its business platform, which allows enterprises and government agencies to connect with users, has further cemented its utility and appeal. Over the years, several local and global companies have tried to replicate WhatsApp’s success, but few have sustained growth.

One such example was Hike Messenger, launched in 2012 by Bharti Airtel’s Kavin Bharti Mittal. Despite reaching 100 million users at its peak, the app shut down in January 2021, highlighting how difficult it is to compete with WhatsApp’s scale and network effects.

Industry experts note that for Arattai to sustain growth, it will need to offer distinctive features, stronger encryption, and better integration with digital services such as payments, media sharing, and enterprise solutions.

Zoho’s continued push for ‘Made in India’ digital tools

Arattai is part of Zoho’s broader consumer product ecosystem, which also includes the Ulaa web browser. Both are positioned as privacy-respecting, India-developed alternatives to global tech giants’ offerings.

Zoho, known globally for its enterprise software suite, has recently emphasized its commitment to India’s digital independence, aligning with the government’s ‘Aatmanirbhar Bharat’ (self-reliant India) mission.

While Arattai’s early momentum appears to have cooled, Zoho’s sustained focus on privacy, local data storage, and user trust may yet help it carve a niche in India’s competitive messaging market.

As the company gears up for the next round of feature updates and broader expansion, all eyes are on whether Arattai can reignite user enthusiasm and become a lasting homegrown alternative to WhatsApp.