(Yicai Global) July 23 -- The number of monthly active users on China's mobile internet fell in the second quarter, posting the first decline in recent years.

MAU numbers dropped 1.93 million from the first quarter to 1.136 billion, according to statistics released today by Beijing-based data provider QuestMobile. Daily use per person rose 6 percent to 358.2 minutes from a year earlier, a marked decline from December's 22.6 percent pace.

The products of four internet giants -- Tencent Holdings, Alibaba Group Holding, Baidu and Bytedance -- accounted for 70 per cent of usage time, with Tencent's share falling to 42.3 percent from 45.9 percent at the end of the first quarter and Baidu from 7.5 percent to 6.3 percent. Alibaba edged up to 10.1 percent from 10 percent and Bytedance rose to 11.7 percent from 10.3 percent.

By sector, entertainment content, especially short videos, was still the main source of user growth, accounting for 65.4 percent of the expansion. Mobile games contributed 16.8 percent, followed by e-commerce platforms, social media networks and third-party payment systems.

While the so-called demographic dividend in the internet sector is waning, new opportunities are emerging, especially as fifth-generation communications will fuel an explosion of Internet of Things applications, with the smart home and auto sectors expected to be the first beneficiaries, the report said.

On the other hand, the short video sector continues to grow rapidly, with nearly 100 million such apps installed in June, mainly by users aged over 35 and those in China's third- and fourth-tier cities.