Datasea achieves 81.4% revenue growth in Q2 2025, driven by 5G+AI expansion and acoustic innovations

Datasea Inc. (NASDAQ: DTSS), a Nevada-based technology company specializing in 5G+AI multimodal digital solutions and acoustic high-tech innovations, has reported a significant increase in revenue for its second fiscal quarter of 2025. The company generated approximately $20.5 million, representing an 81.4% year-over-year surge compared to $11.3 million in the same period the previous year. This remarkable growth was fueled by the accelerated adoption of its 5G+AI multimodal digital business and the expanding commercialization of its high-margin acoustic technology products.

According to CEO Zhixin Liu, the company’s strong performance underscores its ability to scale innovative 5G+AI solutions while establishing a growing market presence for its acoustic high-tech business. Datasea remains focused on leveraging advanced AI technology, machine learning, and acoustic applications to drive sustainable growth and industry leadership.

What Is Driving Datasea’s Revenue Growth?

Datasea’s revenue surge can be attributed to two primary factors: the rapid expansion of its 5G+AI multimodal digital solutions and the increasing market penetration of its acoustic technology products. The company’s ability to integrate cloud-based AI platforms with cutting-edge acoustic technology has enabled it to capitalize on emerging opportunities in digital transformation, healthcare, and environmental safety.

With enterprises across China increasingly adopting AI-driven multimodal digital solutions, Datasea has positioned itself as a leading provider of cloud-based AI services. Its strategic partnerships, including its selection as a prospective partner for China Mobile Internet, have further strengthened its market position, enabling large-scale 5G infrastructure collaborations.

How Has Datasea’s Financial Performance Evolved?

Datasea’s second fiscal quarter of 2025 reflects robust financial performance across key indicators. Revenue reached $20.5 million, marking an 81.4% increase year-over-year. Gross profit rose to $0.4 million, reflecting an improved gross margin of 2.0%, up from 0.9% in the previous year. This margin expansion was driven by the company’s high-value AI solutions and premium acoustic products, which have gained increasing traction in both enterprise and retail markets.

The company’s intangible assets saw a 647% increase, reaching $4.08 million, largely due to patent acquisitions and proprietary technology developments. This growth underscores Datasea’s commitment to strengthening its intellectual property portfolio, ensuring long-term competitive advantages.

Inventory levels increased by 108.3%, reaching $319,932. This reflects the company’s strategic scaling of production to meet growing demand for acoustic high-tech products, particularly in the healthcare and consumer wellness sectors.

How Is Datasea Advancing Its 5G+AI Business?

Datasea continues to innovate within the 5G+AI multimodal digital industry, integrating machine learning, natural language processing, and deep neural networks into its AI-powered services. The company has implemented DeepSeek’s distributed AI training methods, enhancing its capabilities in sentiment analysis, machine translation, and AI-driven decision-making.

A self-designed Transformer model architecture powers Datasea’s 5G+AI platform, enabling enhanced image-text correlation analysis, real-time audio-video synchronization, and multilingual AI processing. These advancements have positioned the company at the forefront of next-generation AI-powered digital services, providing comprehensive solutions to industries including finance, logistics, and healthcare.

Datasea’s ability to secure $30 million in new contracts with leading enterprises such as Qingdao Ruizhi Yixing and Wuhan Xiaoming Technology reflects strong market confidence in its 5G+AI solutions. As more businesses embrace cloud-based AI technologies, the company remains well-positioned to drive further adoption across China’s rapidly evolving digital ecosystem.

How Is Datasea’s Acoustic High-Tech Business Expanding?

Datasea’s acoustic technology business has emerged as a key revenue driver, leveraging ultrasound and infrasound applications to develop innovative healthcare, disinfection, and environmental safety products. The company has pioneered non-audible mechanical wave technologies, which harness the properties of cavitation, thermal, and mechanical ultrasound effects to create high-performance acoustic sterilization and medical treatment solutions.

The company has introduced acoustic disinfection machines and the “Star Dream” non-contact sleep aid device, both of which utilize Schumann resonance and AI-powered acoustic algorithms to enhance health and wellness applications. These products are gaining traction in China’s rapidly growing healthcare and personal wellness markets, driving significant revenue potential.

Datasea has successfully expanded its acoustic product portfolio into 463 beauty and personal care stores in Tianjin and Hubei Provinces. By the end of 2025, the company expects to sell up to 260,000 units of acoustic air disinfection devices and sleep products, generating an estimated $19 million in additional revenue.

The company is also preparing to expand into the U.S. market, seeking partnerships with e-commerce platforms and distributors to introduce its acoustic technology solutions to a global audience. With a strong focus on patent protection and intellectual property development, Datasea is poised to solidify its leadership in acoustic IoT applications, medical ultrasound imaging, and precision acoustic manufacturing.

What Is Datasea’s Strategic Outlook for 2025?

Datasea’s future growth strategy focuses on scaling its high-margin acoustic products, optimizing its 5G+AI customer acquisition model, and expanding into international markets. The company aims to drive profitability through innovation, ensuring that its AI-powered multimodal solutions and acoustic technology products continue to gain market traction.

By prioritizing intellectual property expansion and technological innovation, Datasea seeks to enhance its global presence, targeting key regions such as North America and Europe. The company is actively exploring strategic mergers and acquisitions, positioning itself for long-term growth in the competitive digital technology landscape.

As Datasea continues to advance its 5G+AI business and acoustic technology solutions, it remains committed to scaling innovation, expanding market penetration, and driving sustainable revenue growth.