Excellent graphic via the boys at Gigaom showing the ecosystem around the ITMS/iPhone App store:

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click for ginormous graphic

Hat tip Buzz

Source:
The Apple App Store Economy
Gigaom, Jan. 12, 2010, 9:00am

http://gigaom.com/2010/01/12/the-apple-app-store-economy/

Category: Technology, Web/Tech

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

14 Responses to “The App Economy”

  1. bsneath says:

    Apple is one of the greatest success stories of our times. Steven Jobs is one CEO who is worth every dollar he is paid.

  2. hgordon says:

    Wow – a $3 billion software publishing business. That is pretty impressive, given that the smart phone industry is really only just getting started, so those numbers have lots of upside.

  3. cognos says:

    Numbers look a little off… might handicap it to $100M/month. But still it is just the beginning of any awsome story. The iPhone eco system continues to be obviously “the next big thing” and stock continues to look like an easy long.

    Lots of start-ups will chase this $100M/month in paid app revenue. Lots of companies will continue to pay developers and consulting firms to develop and improve free apps. Maybe Apple will even get media/Ads right and that just might blow everyone away.

  4. wnsrfr says:

    This sounds better than the environment that fostered the success of the “Pet Rock”.

    Too bad most of the apps are just like the Pet Rock! Except for those collecting the revenue…

  5. call me ahab says:

    Apple is the best thing ever- when I die I want to come back as an iPhone- or at the very least- and ear bud to an iPhone-

    a man can dream can’t he

  6. cognos says:

    I am not an Apple guy. Dont own a Mac, dont want one.

    The iPhone is my favorite thing! I honestly believe it may end up being one of the greatest inventions ever. If all my possessions were lost, destroyed I would buy 1 set of new clothes and a new iPhone… hour 1.

    If you think all apps are “pet rock” try getting Scrabble. My gf and I play it constantly… airports, watching TV, etc. Other good apps include CNN (great news and solid video), Bloomberg, PopSci, Pandora, Kindle, ZipCar, Classics, NYtimes, etc. I find my iPhone great for reading… basically like a little kindle thats always with me. Thats not saying I dont agree that most apps are garbage… but its like year 2 of the device. Imagine the possibilities for education if people would make good content!?! And its main use is phone, text, email, web-browsing. Its a mini-computer. I sit in front of my laptop and read/respond to email on my iPhone.

  7. Steve Barry says:

    Maybe Apple will save the Union…the rest of it looks to be crumbling.

    http://www.nbcchicago.com/news/local-beat/Illinois-Careens-Toward-Bankruptcy-Report-81960437.html

  8. that we haven’t heard about the iPhone during the “Health Care Debate”, should be telling..

    many of the roles w/in the “Health-Care” Industrial Complex could be executed by a Girl Scout with the appropriate iPhone+App..
    ~~
    “Its a mini-computer.”, no kidding~

  9. LLouis says:

    Can’t understand why no other companies can come up with some real successful competition to the ipods, the iphone and their stores. Especially microsoft, their tablet is already a disappointment :

    http://www.pcworld.com/article/186172/why_the_microsofthp_tablet_is_a_big_disappointment.html

    While rumors are adding about apple’s tablet, without revealing a true picture, the price should be around $800, and there could be 2 or 3 different models, nice detective compilation by Gizmodo:

    http://gizmodo.com/5434566/the-exhaustive-guide-to-apple-tablet-rumors

    I know I won’t buy it, its the same price as a powerful laptop. Some apple fans/nerds will give their tribute, and then the price will drop after a year….

  10. Graveltongue says:

    If you are looking for a possible alternative to tablet, here you go;

    http://www.ted.com/talks/pranav_mistry_the_thrilling_potential_of_sixthsense_technology.html

    And its open source!

  11. I agree LLouis,

    Shouldn’t we set a clock for when this technology becomes commoditized? The App business looks like the personal computer of the ’80′s or the internet of the second half of the ’90′s. At some point I have to believe it’s success will cause it to break out from single company usage and reach for ubiquity

  12. Can’t say as I am impressed with the graphic. The numbers, though, are impressive. Are they as big as World of Warcraft I wonder?

    There has been a lot of buzz (noise?) about developing apps for iPhones, but it did not attract me. Probably because I still don’t have a cell phone. Everyone else in my family does, but so far the certain aggravation and the expense outweigh the possible benefits.

    There is an open source alternative to the iPhone called Alien. I don’t know if it’s making any headway in the market.

    On one hand I like to think the quality of the apps (usefulness and reliability) will determine whether this is a long term success. On the other, I think, naw, this will be the next “Top 40″, a new pick hit every week for kids with cell phones.

  13. ashpelham2 says:

    While the numbers are large in the graphic, can’t this iPhone economy be called a micro-economy because of the small dollar amounts spent by each participant? Developing apps cannot possibly be as expensive as developing whole software, so the costs are already smaller. Each end user is only charged a very small price (with some exceptions, one on Blackberry is 59.99). Of course, multiplied by the sheer number of phones, the numbers get much bigger.

    Left out of this discussion is how AT&T is faring. They are the only, or one of the only, providers of iPhone services in the US. This has got to be the kind of windfall for them that they’ve not seen since mobile/cellular telephones first came about. Couldn’t come at a better time either, as home phone usage is dropping like a rock.

    Lessons to be learned by the music industry. They could have made the effort to embrace the future, but instead wanted to keep the money to themselves. Snorting away billions and billions and billions…

  14. Jack says:

    The end of the world is near.