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MacRumors
Apr 23, 2013, 06:56 PM
http://images.macrumors.com/im/macrumorsthreadlogo.gif (http://www.macrumors.com/2013/04/23/apple-reaches-45b-app-downloads-with-9b-paid-to-developers/)


http://images.macrumors.com/article-new/2011/10/apples-app-store-icon-o.jpgDuring today's Q2 earnings call (http://www.macrumors.com/2013/04/23/apple-reports-q2-2013-quarterly-results-9-5-billion-profit-on-43-6-billion-in-revenue/), Apple announced that it had hit a milestone of 45 billion total app downloads, up five billion from the 40 billion downloads (http://www.macrumors.com/2013/01/23/apple-reports-best-quarterly-results-ever-in-q1-2013-13-1-billion-profit-on-54-5-billion-in-revenue/) that it reported in January.

There are now 850,000 iOS apps in total, with 350,000 of those being iPad-only apps. 800 apps were downloaded per second during the quarter, representing almost 70 million downloads a day.

Apple has now paid out a total of $9 billion to developers, a $1 billion increase since mid-February (http://www.macrumors.com/2013/02/12/tim-cook-speaks-at-goldman-sachs-technology-conference/). According to Apple CFO Peter Oppenheimer, Apple is now paying developers more than $1 billion per quarter, with approximately $4.5 billion being paid out in the last year alone.

In total, Apple's digital storefront includes music stores in 119 countries with 35 million songs, movies in 109 countries, the iBookstore in 155 countries and the App Store in 155 countries, covering 90 percent of the world's population.

The second quarter of 2013 brought record earnings for iTunes, with a revenue of over $4.1 billion, a 30 percent increase year-over-year.

Article Link: Apple Reaches 45B App Downloads With $9B Paid to Developers (http://www.macrumors.com/2013/04/23/apple-reaches-45b-app-downloads-with-9b-paid-to-developers/)



tann
Apr 23, 2013, 07:02 PM
70 million apps downloaded a day is what I'm all like :eek: at.

Damn that's a lot of apps!

firewood
Apr 23, 2013, 07:08 PM
However, the bulk of that over $1billion per quarter is paid out to a very small percentage of app developers. The vast majority of app developers make a little coffee/beer money or less directly from the App Store. Consulting for companies that can throw money away is the only real income opportunity these days for most.

SamGabbay
Apr 23, 2013, 07:33 PM
What happened to the app contests?? Haven't seen those in a while.

numlock
Apr 23, 2013, 07:36 PM
However, the bulk of that over $1billion per quarter is paid out to a very small percentage of app developers. The vast majority of app developers make a little coffee/beer money or less directly from the App Store. Consulting for companies that can throw money away is the only real income opportunity these days for most.

how would you like that to be changed?

parish
Apr 23, 2013, 07:41 PM
70 million apps downloaded a day is what I'm all like :eek: at.

Damn that's a lot of apps!

Or 800 per second :eek:

Those figures are just insane aren't they? - almost impossible to get your head round!

acorntoy
Apr 23, 2013, 07:43 PM
However, the bulk of that over $1billion per quarter is paid out to a very small percentage of app developers. The vast majority of app developers make a little coffee/beer money or less directly from the App Store. Consulting for companies that can throw money away is the only real income opportunity these days for most.




Many small developers have made huge amounts of money thanks to the App Store, and many continue to do so. Just because you make a app and submit it does not mean you should be raking in cash instantly. Big companies start small.

firewood
Apr 23, 2013, 08:10 PM
how would you like that to be changed?

Personally, as an app developer, I would like to spend more time creating cool new and unique apps, and less time and money on marketing and PR efforts to keep older apps up the charts. But there's very little (near zero?) visibility for all but a tiny number of new interesting apps these days.

darijoe
Apr 23, 2013, 08:19 PM
45 billion apps downloaded with $9 billion to developers. That's an average of 20 per download. ;)

sparkso
Apr 23, 2013, 08:22 PM
Many small developers have made huge amounts of money thanks to the App Store, and many continue to do so. Just because you make a app and submit it does not mean you should be raking in cash instantly. Big companies start small.

True, alot of indie devs like me made huge cash. Not with my first few apps of course but subsequent apps improved in terms of quality and downloads.

needfx
Apr 23, 2013, 09:17 PM
covering 90 percent of the world's population.

what a reach...!

HiRez
Apr 23, 2013, 11:17 PM
There are now 850,000 iOS apps in total, with 350,000 of those being iPad-only apps.

Wait a minute, iPad-only? Not including universal apps that run on iPhone and iPad (not in the iPhone 2X emulation, but actually designed for iPad)?

BvizioN
Apr 24, 2013, 04:07 AM
Wait a minute, iPad-only? Not including universal apps that run on iPhone and iPad (not in the iPhone 2X emulation, but actually designed for iPad)?

Quite right! Apps only designed for iPad.

mdriftmeyer
Apr 24, 2013, 04:19 AM
However, the bulk of that over $1billion per quarter is paid out to a very small percentage of app developers. The vast majority of app developers make a little coffee/beer money or less directly from the App Store. Consulting for companies that can throw money away is the only real income opportunity these days for most.

The onus is on the imagination and ideas that eventually implement an application which drives sales. It's up to the App Developers to create markets people will want and how it fits into their various aspects of entertainment, productivity, knowledge, etc.

tdtran1025
Apr 24, 2013, 04:33 AM
I read these numbers all the time. I see Apple sits on their butt and still makes $. I wonder how Google fares with their Android ecosystem? Samsung fans will always be Samsung fans, probably because they hardly buy anything from Playstore.
Then there are movies that are bought thru iTunes. Man, Apple is richer than The Treasury.

Adam1988
Apr 24, 2013, 06:44 AM
Does anyone know if theres a new apple tv coming out? I want to buy an apple tv but i dont want to buy it and than new apple tv comes out on september 2013

winston1236
Apr 24, 2013, 07:17 AM
I read these numbers all the time. I see Apple sits on their butt and still makes $. I wonder how Google fares with their Android ecosystem? Samsung fans will always be Samsung fans, probably because they hardly buy anything from Playstore.
Then there are movies that are bought thru iTunes. Man, Apple is richer than The Treasury.

What? If you are referring to Galaxy users they all use G Play, since Galaxy uses Android.

thepowerofnone
Apr 24, 2013, 07:27 AM
I am really surprised that people who read MacRumors are questioning whether the App Store is good for small developers. Do you read this news feed at all? Yesterday they ran an article on how Wavii managed to sell itself for $30 million and you're honestly arguing that the App Store (iOS or Mac) isn't a real tool for developers?

I buy my software in one of three ways: when I know of a well known piece of software I specifically need for something, often made by a large company; when I see something great on the App Store that is really novel and works; when a super discount bundle comes up on the web and I want one thing in it and get nine other apps I will try out but probably not use. Of these methods, the first two I would be willing to pay top dollar for an app which means lots of money for the developer, the last I will pay a bit but generally not a lot and half of that money will go to the bundler or (more often than not) Parallels or vWare, leaving very little to be shared between all the small developers in the bundle.

In short, the App Store is a really great platform for small developers because they are the ones who need the exposure; big firms have a name for themselves and people come to them, small firms don't and this is a great way to get business.

Compile 'em all
Apr 24, 2013, 07:30 AM
Fairly certain 0.00001% of the developers made 99% of that 9B.

litmag01
Apr 24, 2013, 08:13 AM
I wonder if that figure also includes in-app advertising revenue?

Stella
Apr 24, 2013, 09:32 AM
Fairly certain 0.00001% of the developers made 99% of that 9B.

Correct - it is a small percentage of developers that actually make money, the majority don't. I think this is a very well proven fact. Those companies that sell for 30 million are extremely few and far between - referencing a post above.

If App discovery was easier then maybe developers would make more money?

You can find plenty of articles backing this up via Google.

phillipduran
Apr 24, 2013, 09:48 AM
And people complain about the 30% cut. :rolleyes:

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Does anyone know if theres a new apple tv coming out? I want to buy an apple tv but i dont want to buy it and than new apple tv comes out on september 2013

Buy it if you want it because there is always something new coming around the corner.

Apple products also retain their value well, so just sell the old one.

firewood
Apr 24, 2013, 11:17 AM
The onus is on the imagination and ideas that eventually implement an application which drives sales.

That used to be true. But, these days, marketing, advertising, social PR and having an established brand seem to be more important in driving app sales.

I am really surprised that people who read MacRumors are questioning whether the App Store is good for small developers. Do you read this news feed at all? Yesterday they ran an article on how Wavii managed to sell itself for $30 million and you're honestly arguing that the App Store (iOS or Mac) isn't a real tool for developers?

And there was also a recent news reports that someone won well over $30 million in some state lotto. But that doesn't mean the lottery is a "real tool for developers". The lottery is often said to be a tax on people who aren't good at math (statistics and probability). Only a microscopic percentage of the several 100 thousand iOS developers do anywhere near as well as Wavii. Maybe with slightly better odds than playing the lotto (but maybe not given the high "ticket" cost to play). Certainly not good enough odds for a business plan unless you are a professional gambler. Not many people are. Thus, the App store is really terrible for most small developers.

ilmman
Apr 24, 2013, 11:55 AM
Correct - it is a small percentage of developers that actually make money, the majority don't. I think this is a very well proven fact. Those companies that sell for 30 million are extremely few and far between - referencing a post above.

If App discovery was easier then maybe developers would make more money?

You can find plenty of articles backing this up via Google.

Apple have been continually tweaking their search engine for the past year and as a result keyword rankings been effecting a lot of devs, (most bad). It seems now apple favors big companies and are trying to push out of the crapps out of the store. The change in ios 6 App Store was not good as well. Showing apps one at a time when scrolling thru instead of listing 20 per page means that apps ranked at the top of a keyword search have greater power of being downloaded.

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And people complain about the 30% cut. :rolleyes:

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Buy it if you want it because there is always something new coming around the corner.

Apple products also retain their value well, so just sell the old one.

Personally I don't care about the cut, what I care is apple just straight out screwing indie devs with their AppStore changes...

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45 billion apps downloaded with $9 billion to developers. That's an average of 20 per download. ;)

Also external ad networks that pay us too. I make 10 times more with ad networks paying me than apple. And apple makes 10 times more than google play store and google play apps make. 10 more than what I make on amazon store

----------

That used to be true. But, these days, marketing, advertising, social PR and having an established brand seem to be more important in driving app sales.



And there was also a recent news reports that someone won well over $30 million in some state lotto. But that doesn't mean the lottery is a "real tool for developers". The lottery is often said to be a tax on people who aren't good at math (statistics and probability). Only a microscopic percentage of the several 100 thousand iOS developers do anywhere near as well as Wavii. Maybe with slightly better odds than playing the lotto (but maybe not given the high "ticket" cost to play). Certainly not good enough odds for a business plan unless you are a professional gambler. Not many people are. Thus, the App store is really terrible for most small developers.

Everything is a gamble, the company you work for today may be gone tomorrow, or you may be fired, its the same deal, when I went into this business there was nothing to lose. I quit my job because I was like "meh it's only a 50k salary job I could obtain it again if I fail." 3 years later I make 4 times more than what that job offers me despite the AppStore changes and its been great. I wake up when I feel like it, I work when I feel like it, don't need to care what day it is or have those Sunday nights where I stress about work tomorrow and I just love the feeling of waking up and think to myself "oh yeah I made $200 while sleeping and had to do nothing!"

ctdonath
Apr 24, 2013, 02:07 PM
I am really surprised that people who read MacRumors are questioning whether the App Store is good for small developers. Do you read this news feed at all? Yesterday they ran an article on how Wavii managed to sell itself for $30 million and you're honestly arguing that the App Store (iOS or Mac) isn't a real tool for developers?
Do the math.

That's an average net of $10,588 per app.
Average. Over how many years?
Median net is far less than that, with (as others keep noting) most of the money going into a very few pockets.
At that rate, "good for small developers" means the model works only, with exceptions of course, for hobbyists not looking for a big payoff.
$10k/app is not viable.

A few apps will hit it big. Most won't make enough to cover lunches during development.

TouchMint.com
Apr 24, 2013, 03:32 PM
Its not only the big companies that can make it on the app store. While I am not able to make apps as my full time job I could make it work if I needed it to.


I assume a lot of devs are in the same place. If you have the skills/talent to make apps odds are you already have a good paying job that would be hard to leave.

twoodcc
Apr 24, 2013, 06:14 PM
that's a lot of downloads. i wonder how much bandwidth that is

ctdonath
Apr 24, 2013, 06:43 PM
[QUOTE=ilmman;17186652Everything is a gamble, [/QUOTE]
Not.

While outcome may not be assured...
- investments have positive average payoffs
- gambles have negative average payoffs

marksman
Apr 24, 2013, 07:07 PM
However, the bulk of that over $1billion per quarter is paid out to a very small percentage of app developers. The vast majority of app developers make a little coffee/beer money or less directly from the App Store. Consulting for companies that can throw money away is the only real income opportunity these days for most.

Yet apple still has foistered a multi billion dollar industry in creating apps for their mobile devices. Creating multi billion dollar industries out of nothing is extremely hard to do.

marksman
Apr 24, 2013, 07:19 PM
Personally, as an app developer, I would like to spend more time creating cool new and unique apps, and less time and money on marketing and PR efforts to keep older apps up the charts. But there's very little (near zero?) visibility for all but a tiny number of new interesting apps these days.

Then perhaps pay someone to market your apps for you. Marketing is a part of being in business. Basically you want apple to do a key part of operating a business for you.

Beyond that it is not even logistically possible. I own a marketing company, perhaps I shouid look into assisting down trodden app devs not getting their piece of the pie.

While I know this sounds like an attack it is not. You are a developer you shouid develop. I am sort of shocked there are not marketing houses or co ops for small developers to pool resources and maximize exposure.

With nearly one million apps there is no way for apple to make even a tiny fraction of them visible. The reality is as the store has gotten bigger developers should have been branching their marketing. There are still lots of ways to market apps but there is a cost, be it money, time; resources or a combination of all of them.

Plus the reality is there is so much duplication and narrow distinction that unless you have something unique you have little chance without a sizable marketing budget. If you have a truely unique app that is either very useful or uniquely entertaining you could make a lot of money with only a time investment. I realize that is time you want to spend developing but then you have to pay someone for their time to help you.

If i spend six months creating a website and then say I am open how many visits will I get if I tell nobody about it and do no marketing. Next to none. If you have a typo name of a busy website maybe three. Few businesses online or offline can just open and expect the cash to come in. Marketing is super important and takes a lot of different forms.

ilmman
Apr 24, 2013, 11:53 PM
Being an indive developer is hard work. Unless you have all the resources you need, you have to obtain them yourself or paying someone to do so. I released apps but with shocking icons and screenshots in the past and they were dismal, improving icons and screenshot gives a great first impression whether your app is good. Every little detail is needed to getting the right exposure and even if you do it right, you are not guaranteed for a success simply because "the app is better than this app"

newagemac
Apr 25, 2013, 07:29 AM
That used to be true. But, these days, marketing, advertising, social PR and having an established brand seem to be more important in driving app sales.



And there was also a recent news reports that someone won well over $30 million in some state lotto. But that doesn't mean the lottery is a "real tool for developers". The lottery is often said to be a tax on people who aren't good at math (statistics and probability). Only a microscopic percentage of the several 100 thousand iOS developers do anywhere near as well as Wavii. Maybe with slightly better odds than playing the lotto (but maybe not given the high "ticket" cost to play). Certainly not good enough odds for a business plan unless you are a professional gambler. Not many people are. Thus, the App store is really terrible for most small developers.

Well considering how much more money is made on iOS for small developers compared to Android, if the App Store is terrible for small developers, then it is downright ridiculously dumb for them to develop for Android at all.

By the way, the overwhelming majority of all small businesses fail in the first 5 years. Most small developers don't make much money on ANY platform. I fail to see your point. The reality of the situation is that if you are a small developer wanting to make money developing apps, iOS is by far your best bet. And there are a TON of small developers making good money on iOS.

I work with a lot of small developers whose apps I'm sure you haven't even heard of and they are making a very decent living developing for iOS. Quite a bit more than the $40,000 or so they made at their previous jobs slaving for some company. These are just regular people working on their apps alone. But even if they were making "only" around $40,000 that's pretty good considering all the other benefits compared to working for someone else 9 to 5 every day.

JAT
Apr 25, 2013, 11:48 AM
What? If you are referring to Galaxy users they all use G Play, since Galaxy uses Android.

Android, yes. G Play, not necessarily. Samsung makes its own software (including a store), which I'm sure many people never replace. My son's Galaxy Tab has G Play, but I had to install it.