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Android app revenue to double this year, iOS still in the lead
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Android app revenue to double this year, iOS still in the lead

Naina Khedekar • August 31, 2013, 16:05:55 IST
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It is no secret that the Google Play store has been growing by the day. And now a new report by ABI Research claims that the Play Store growth could speed up.

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Android app revenue to double this year, iOS still in the lead

It is no secret that the Google Play store has been growing by the day. And now a new report by ABI Research claims that the Play Store growth could speed up further. One of the highlights of the research is that Android’s app revenue, just from its smartphones, could double this year and reach a massive amount of $6.8 billion.

However, the iOS App Store still rules the roost as far as generating revenue is concerned. And the $6.8 billion is said to be mere 60 percent of Apple’s revenue from apps. Senior analyst Josh Flood said that Apple’s iOS still leads all the other mobile operating systems’ revenues by a significant margin, but the greater number of Android smartphones in use could obstruct Apple’s lead in this market. In another report earlier this month, it was revealed that Google Play exceeded the App Store in downloads by 10 percent in Quarter 2 of 2013. But Apple App store leads the Google Play by nearly 130 percent when it comes to revenues. Though, the chasm between the two OS Marketplaces is said to be diminishing quickly.

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The research also points out that the global app revenue for 2013 will reach $25 million. The interesting bit is that 65 percent of this revenue comes from smartphones, and the rest from tablets. Moreover, Apple gets a combined 65 percent share of the app revenue on combing both the device categories.

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However, what could really work for Android is the gigantic number of sales it has been making. Another important aspect – its backed by Google. It leads in online advertising and owns 70 percent of the mobile revenue generated globally. While most of the apps are free on Google Play, it can still monetize through advertising. Moreover, Google’s open platform also means the possibility for carriers to charge for apps. It is believed that carrier payments have better completion rates compared to credit or debit cards.

Android’s revenue growth is touted to be very slow. Moreover, let’s see what changes the launch of the budget iPhone 5C brings to Android-dominated emerging markets.

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Written by Naina Khedekar
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Armed with a Bachelor of Electronics Engineering degree, it is writing where Naina finds her calling. She has got her finger on the pulse of what's new and trending in the world of technology, right from gadgets to innovations. When she isn't hammering away on her keyboard, she is busy looking for figurines to add to her growing collection of Kinder toys. It doesn't get more diverse than that. see more

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