Good comment at the bottom: $99 developer registration fee from 600,000 developers is more than the speculated $45,000,000 made from selling apps.
Apple has made less than $45m in revenue from the app store
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Re: Apple has made less than $45m in revenue from the app store
#12Good comment at the bottom: $99 developer registration fee from 600,000 developers is more than the speculated $45,000,000 made from selling apps.
That also means that the mean revenue / developer is $300... Doesn't sound like too profitable a business as $99 of that $300 has bought you the registration fee ;)
Re: Apple has made less than $45m in revenue from the app store
#13How could that sort of miniscule revenue finance some servers, bandwidth, and a payment system? You'd almost think Apple were trying to make more money from selling the phones and contracts :)
All joking aside, their app reviewers might cost more money than all their bandwidth, as they have already invested heavily in that infrastructure for the iTunes store.
Re: Apple has made less than $45m in revenue from the app store
#14Good comment at the bottom: $99 developer registration fee from 600,000 developers is more than the speculated $45,000,000 made from selling apps.
There are almost certainly not 600,000 paying iPhone developers. I'm guessing that number is people who have downloaded the SDK (which is available for free).
There are only about 35,000 apps, and the average number of apps per developer (who has an app on the store at all) is probably closer to 2 than 1. Even with twice as many paid developers as people who have shipped apps, you're talking about a maximum of 75,000 devs.
Re: Apple has made less than $45m in revenue from the app store
#15How could that sort of miniscule revenue finance some servers, bandwidth, and a payment system? You'd almost think Apple were trying to make more money from selling the phones and contracts :)
All joking aside, their app reviewers might cost more money than all their bandwidth, as they have already invested heavily in that infrastructure for the iTunes store.
Maybe, although the quality of some of the reviewing indicates to me they have a lot of automation involved. But who knows? :)
Re: Apple has made less than $45m in revenue from the app store
#16The $45m headline number is a drop in the bucket compared to what Apple makes from selling iPhone and iPod Touch hardware. The crucial point this story misses is that Apple has generated a marketplace worth $50m-$112m in revenue for makers of iPhone apps, with an App Store that launched less than a year ago. This is huge. Compare that to the $100m "iPhone Fund" that Kleiner Perkins announced in March 2008 ( http://ww…
Agreed. On top of that, Apple really isn't spending that much to create this platform. Once it's made, it requires a bit of overhead but basically the revenue from this should cover it.
Re: Apple has made less than $45m in revenue from the app store
#17How many iPhone and iPod Touch sales have they made based on the availability of third party apps? The ecosystem is heavily pushed to consumers.
I really doubt many people buy an iPod / iPhone because of the 3rd party apps even though they are advertised a lot atm.
Re: Apple has made less than $45m in revenue from the app store
#18How many iPhone and iPod Touch sales have they made based on the availability of third party apps? The ecosystem is heavily pushed to consumers.
iPod Touch sales growth more than doubled year-over-year last quarter, and Apple has sold 37 million units of the iPhone and iPod Touch
Yep. And Apple's doing a lot of advertising for the iPod Touch based on the availability of games - which are all third-party.
Re: Apple has made less than $45m in revenue from the app store
#19How many iPhone and iPod Touch sales have they made based on the availability of third party apps? The ecosystem is heavily pushed to consumers.
I really doubt many people buy an iPod / iPhone because of the 3rd party apps even though they are advertised a lot atm.
I disagree. Their current 'There's an app for that' advertising campaign is clearly targeted at people who would like certain applications on their phone, irrespective of the phone itself. If they see the iPhone can do what they wish, they will be more inclined to purchase one.
I personally know of several people who have recently purchased iPhones and the App store was a major consideration for them.
Re: Apple has made less than $45m in revenue from the app store
#20Earlier quoted context omitted.
iPod Touch sales growth more than doubled year-over-year last quarter, and Apple has sold 37 million units of the iPhone and iPod Touch
Yep. And Apple's doing a lot of advertising for the iPod Touch based on the availability of games - which are all third-party.
Almost entirely third party- Apple does make a Texas Hold'em game.