ByteDance has undertaken its most significant reorganization of its ToB (Business-to-Business) operations in six years.

On July 30, ByteDance circulated an internal email announcing the consolidation of its Feishu and Doubao product teams into a unified Doubao product team. This new entity will be spearheaded by Doubao's head, Zhao Qi, with Feishu's head, Xie Xin, reporting to Zhao Qi.

The Feishu GTM (Go-To-Market, encompassing Marketing, Sales, and Customer Service) team will merge with the Volcano Engine team to establish a new ToB GTM entity named the "Creativity Service Platform." This platform will oversee marketing, sales, and customer service for ByteDance's MaaS (Model-as-a-Service) and SaaS (Software-as-a-Service) cloud services, led by Volcano Engine's head, Tan Dai.

ByteDance's last major ToB business reorganization occurred in 2021 when Feishu was established as an independent BU (Business Unit) alongside Douyin and Volcano Engine, with Xie Xin reporting directly to ByteDance CEO Liang Rubo.

The integration of Feishu, Doubao, and Volcano Engine comes amidst a backdrop where AI is reshaping the competitive landscape of enterprise office solutions.

Tencent's WorkBuddy has achieved over 20 million monthly visits, surpassing the combined total of the second and third-ranked platforms. Alibaba's DingTalk underwent a leadership transition in June, integrating three AI agent products—QoderWork, Wukong, and MuleRun—to launch "Qianwen Office." ByteDance's restructuring of Feishu officially ignites the battle among tech giants for supremacy in enterprise office solutions.

I. How to Interpret ByteDance's Major Restructuring?

From its inception as a project in 2016 to its evolution into an independent business unit, Feishu emerged as a flagship high-value SaaS product representing ByteDance's enterprise services. However, in this restructuring, parts of Feishu's product offerings will merge with Doubao, while its sales operations will integrate with Volcano Engine.

Is Feishu losing its competitive edge?

Quite the contrary. Feishu's business continues to experience rapid growth. According to Caijing, Feishu's revenue surpassed 3 billion yuan in 2025. In the first half of 2026, Feishu sustained robust growth, with Q2 revenue doubling year-on-year.

The core rationale behind ByteDance's integration is the fundamental transformation in enterprise service logic in the AI era.

Prior to the large language model boom, Feishu's value proposition centered on enhancing organizational efficiency through advanced tools. However, with the advent of generative AI and intelligent agents, this paradigm has shifted. The upper limit of office productivity tools is no longer defined by UI experience or functional modules but by the cognitive and execution capabilities of underlying large models.

Over the past few years, both Feishu and Doubao have ventured into enterprise AI applications. Feishu introduced the AI application development platform Aily to assist enterprises in building intelligent assistants, while Doubao has consistently expanded its enterprise-grade model services and application scenarios.

Nevertheless, the previous independence of these two business lines resulted in fragmented resources. Post-integration, Feishu's enterprise collaboration data—encompassing documents, spreadsheets, approvals, meeting minutes, and group chats—can serve as the cornerstone for Doubao's large models to comprehend real-world business scenarios, thereby further enhancing AI's execution capabilities in office settings.

On the commercial front, the merger of Feishu's sales operations with Volcano Engine to form the "Creativity Service Platform," led by Volcano Engine's head, Tan Dai, addresses long-standing challenges in China's traditional SaaS industry.

Firstly, it mitigates resource wastage. Previously, Feishu marketed SaaS solutions while Volcano Engine sold cloud computing and MaaS (billed based on computing power and token consumption). With overlapping sales teams targeting the same enterprise clients, communication costs escalated, and synergies remained untapped.

Secondly, it reconfigures monetization models. Enterprise clients exhibit limited willingness to pay for standalone software subscriptions but demonstrate a high propensity to pay for bundled solutions that combine "AI computing power, large model deployment, and application customization." By integrating Feishu GTM into Volcano Engine, ByteDance can now acquire clients with a comprehensive offering: "infrastructure computing power (Volcano) + large models (Doubao) + front-end applications (Feishu)."

As clients leverage AI through Feishu, they continuously consume Volcano Engine's large model tokens and computing resources, thereby breaking the traditional SaaS profitability bottleneck.

This restructuring epitomizes ByteDance's strategic focus. Rather than maintaining a high-cost, slow-return independent SaaS application, ByteDance integrates Feishu into an AI-powered office ecosystem centered around "Doubao + Volcano Engine."

II. The Battle for AI-Powered Office Solutions Commences

The integration of Feishu and Doubao is a strategic imperative for ByteDance to compete in China's AI-powered office market.

By 2026, competition in the large model sector has transitioned from basic parameter scale to the deep penetration of agents in productivity scenarios. With domestic AI desktop office agent users surging and monthly visits exceeding tens of millions, ByteDance can no longer afford internal business silos.

In the lead-up to ByteDance's restructuring, internet giants were already embroiled in a fierce battle for AI-powered office solutions.

In June, DingTalk's founder and former CEO, Chen Hang, stepped down, with Chen Yusen assuming the role of new CEO. This marked DingTalk's second leadership transition in 15 months. Chen Yusen, a tech enthusiast born in the 1990s, is perceived as a signal of Alibaba's strategic pivot in enterprise services.

Shortly thereafter, in late July, Qianwen Office quietly commenced a beta test, with its desktop version now available and web and DingTalk-embedded versions slated for release. Qianwen Office integrates three agent products—QoderWork, Wukong, and MuleRun—and is positioned as Alibaba Cloud and DingTalk's "sole flagship SaaS product," as well as Alibaba's knockout offering for the agent-powered office market.

Tencent is also intensifying its focus on its AI office agent, WorkBuddy, accelerating market promotion and reportedly merging its QClaw-related teams into the WorkBuddy ecosystem.

According to Analysys' 2026 China Office Agent Platform Market Research Report, in June 2026, monthly visits to 17 mainstream desktop AI-native office agent platforms in China exceeded 60 million. Tencent's WorkBuddy led the pack with 20.97 million visits, surpassing the combined total of the second and third-ranked platforms.

Sources indicate that Tencent founder Pony Ma attaches significant importance to WorkBuddy, rarely missing product meetings and treating it as a "super project" internally.

Faced with Tencent and Alibaba's rapid encirclement, ByteDance risks ceding ground in the enterprise AI agent market if it persists with its multi-pronged approach of "Feishu for Feishu's AI and Doubao for Doubao's B-end services."

Viewed solely as a collaboration tool, Feishu has a discernible ceiling. However, when positioned as an application layer connected to Doubao and Volcano Engine, ByteDance is essentially constructing an enterprise-grade operating system for the AI era.

Firstly, the shift from "tool" to "executor."

Traditional office software necessitates human operation, whereas the "Doubao + Feishu" combination aims to delegate tasks to AI agents. In the beta version of Doubao Enterprise, native integration with Feishu's office scenarios—documents, spreadsheets, meetings, and group chats—has already been achieved. Post-integration, AI could evolve into "digital employees" with enterprise permissions, automating business processes.

Secondly, the commercial closed-loop transition from "software subscriptions" to a "token ecosystem."

AI-powered office solutions represent one of the most commercially viable sectors today. In Q2 2026, over 90% of Feishu's new clients also procured Feishu AI products. As of June, Doubao's large models handled over 180 trillion daily token requests, translating to an annualized revenue run rate (ARR) of $4 billion for its large model business based on July's average consumption.

By integrating Feishu into this ecosystem, every employee-AI interaction and agent-driven workflow automation continuously drives consumption of Volcano Engine's underlying computing power and tokens.

ByteDance CEO Liang Rubo has articulated that scaling AI capabilities is ByteDance's foremost priority. The restructuring of Feishu, Doubao, and Volcano Engine underscores ByteDance's unwavering commitment to securing a dominant position in the next generation of enterprise intelligence infrastructure.