Apple says payouts from App Store total $70bn

Yolanda Curtis
June 3, 2017

Since the launch of the App Store in 2008, Apple has paid App Store developers seventy billion dollars. The company recognised that an entire economy has been built around the app store and the thousands of software businesses it has created.

Considering its 70/30 revenue split with developers, that means the tech giant has made around $30 billion from its app business to date. Additionally, app download rates continue to soar with Apple seeing an increase of 70% in overall downloads this year alone. The statistic casts doubt on the reports of "app fatigue", a phenomenon that is widely thought to be spreading through the smartphone population.

"Based on our analysis of in-app revenue - not inclusive of advertising revenue -nearly double the number of publishers made their first $1 million in annual revenue past year on the US App Store compared to Google Play", he said.

Apple also said that, over the past 12 months, downloads have grown over 70%.

Apple announced it has passed $70 billion in developer payouts, up from $50 billion a year ago (after taking its commission).

"We are amazed at all of the great new apps our developers create and can't wait to see them again next week at our Worldwide Developers Conference", he said in a statement. Cupertino also talks about the subscription business model, which it has now opened to every developer across 25 categories of the App Store. Apple highlighted several apps that have recently seen success within the walls of the Store.

When it comes to reigning kings in the category of active paid subscriptions, Netflix and Hulu are on the top. The Photo and Video category also has experienced an fantastic growth rate of almost 90%. It highlights the continued demand for social media apps and photo filtering utilities. Gaming and Entertainment are top-grossing categories, and Lifestyle apps, as well as Health and Fitness, have experienced over 70 percent growth in the past year. That being said it seems that Apple's iOS and Mac platforms appear to be making good money.

Other reports by iNewsToday