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App stores worth £3.8 billion in 2010

App stores worth £3.8 billion in 2010

Gartner believes that the quality and quantity of apps available for particular smartphone platforms will decide its success.

If you've been wondering just what the point of the whole "there's an app for that" culture on smartphones is, the answer - as usual - is money: $6.2 billion, to be precise.

That's the value market watcher Gartner is placing on the mobile application store market as a whole for 2010 - despite the fact that eight out of ten applications downloaded by users of things like the Android Market or Apple's App Store are either completely free or ad-supported.

According to an article over on Softpedia, Gartner's figures predict that there will be around 8 billion individual smartphone application downloads from official sources in 2010 - rising to an impressive 21.6 billion by 2013.

To put the figures in monetary terms, the mobile application sector generated around $4.2 billion (£2.6 billion) in revenue in 2009 with Gartner's predictions expecting that to rise to $6.2 billion (£3.8 billion) in 2010 and then rocket to $29.5 billion (£18 billion) in 2013 - representing a major new sector for companies to exploit. Even developers of no-cost applications can get in on the act, with the market watcher predicting that around 25 percent of 2013's total app store revenue will be from advertising rather than direct purchases.

The application market isn't only important for making people rich, however: Gartner's research director Carolina Milanesi believes that the quality and breadth of applications available on each individual platform - including Google's Android, Apple's iPhone OS, Palm's WebOS, and Microsoft's Windows Mobile - "will help determine the winner among mobile devices platforms" far more decisively than the quality, appearance, or performance of the operating platform itself.

With Apple's iPhone continuing to dominate the smartphone sector, and interest in Google's Android soaring steadily up to meet it, it'll be interesting to see which platform gets its killer application first.

Are you a tricked-out smartphone user festooned with apps, or is your 'phone just for making calls? Have you ever spent real cash money on smartphone apps, or do you just browse to see what freebies are on offer? Share your thoughts over in the forums.

14 Comments

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mi1ez 19th January 2010, 13:53 Quote
My phone can play solitaire (go me!) and go online and play music on top of calls and texts. More than enough.
proxess 19th January 2010, 14:00 Quote
My 6110 has GPS yeah! But I use public transportation. Pretty much SMS and Calls.
NuTech 19th January 2010, 14:01 Quote
No wonder our economy is in the toilet with idiots like this constantly overvaluing and over-hyping everything.

When you start putting astronomical valuations (and laughable 'predictions') on stuff like this, you're almost guaranteeing it's bottom will eventually fall out.

Twitter's recently valuation also comes to mind for similar reasons...
frontline 19th January 2010, 14:04 Quote
I must be old-fashioned too, i use my mobile for calls and texts mostly :)
eddtox 19th January 2010, 14:22 Quote
Lol, I barely pay for software for my computer, let alone my phone. The fact of the matter is that, at least on the PC, there is usually a freeware/open source app that will do what you need, you just need to find it. Of course, ther are exceptions, like Windows, and the amazing OneNote (if you have a tablet) but other than that, I don't think I have any commercial software on my pc (well, games, but you can even get some freeware/OS games these days). Point I'm making is that as long as I don't have money coming out of the bathroom tap, I will not pay £5 for a theme, £3 for a ring tone and £30 (+skypeout credit) to use skype on my BB.
Mankz 19th January 2010, 16:14 Quote
Its an application, not a ****ing app.

Goddam Apple and their stupid naming schemes.
kosch 19th January 2010, 16:24 Quote
ha not as much as Cadburys chocolate then!
woodss 19th January 2010, 16:29 Quote
Quote:
Originally Posted by Mankz
Its an application, not a ****ing app.

Goddam Apple and their stupid naming schemes.

if one more person comes up to me and tries to show me an app they paid £5 for that does something they will only ever use 1 time I swear...

I mean its important to have an application that tells you what not to do if a rhino is charging you or how not to get your iphone stolen down a back street, but why do people promote the **** they idiotically brought to non believers? lol...
Bonzo45 19th January 2010, 17:02 Quote
Can your phone:
Make calls?
Send texts?
Wake you up?

If the answer to those three is yes then you're set - forget about it.
Farfalho 19th January 2010, 17:27 Quote
Applications is for people who have a bunch of money and don't know where to spend it wisely.

Almost every smartphone out there already has all the applications needed
eek 19th January 2010, 17:34 Quote
Quote:
Originally Posted by Bonzo45
Can your phone:
Make calls?
Send texts?
Wake you up?

If the answer to those three is yes then you're set - forget about it.
This was my line of thinking until I got an iPhone. I don't think I could go back to using just a 'phone'.

My main grip with the iPhone is the barrier to entry for developers looking to create apps for the platform.
fodder 19th January 2010, 21:30 Quote
Not too sure about this statement, but I would think that there would be more opensource/free applications on Android as it is an opensource platform to begin with. Plus, I believe the entry to Market is easier than the app store.

Besides, most of the stuff on there is trash anyway. No point if boasting you have 3 million applications if 2.999999 are pants.
eddtox 19th January 2010, 23:09 Quote
Quote:
Originally Posted by fodder
Besides, most of the stuff on there is trash anyway. No point if boasting you have 3 million applications if 2.999999 are pants.

Unfortunately, we live in a word where a bad product marketed well will always sell much more than an excelent product marketed badly.
fodder 21st January 2010, 18:08 Quote
So true.
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