Next month, just before its Worldwide Developers Conference, Apple on Thursday announced new data related to the financial success of the US App Store. The company says its US App Store Ecosystem has produced $ 406 billion in developer billings and sales in 2024 – a figure that has been about three times since 2019, when it produced $ 142 billion.
Apple also noted that, 90% of billing and facility for sale was provided by app store, the developers did not pay any commission.
The new figures come from an apple-funded study conducted by Professor Andry Fradkin from Boston University Questrom School of Business and economist Dr. from analysis group. Jessica Burly. The analysis group has been working with the years with Apple, which has been working for years between the report and the antitrust probe to create a study that displays the market power of the app store in a more favorable light and as a pure positive for developers.
In particular, these studies have insisted that only a small piece of Apple's developer base pays the Apple Commissions, and most of those who do so are on a small business plan or other programs where their commission standard is reduced by 30% to 15%.
However, those findings have not saved Apple from being forced to open the app store for increased competition in the US.
Last month, US District Judge Yavon Gonzalez Rogers ruled that Apple violated the court order arising out of Fortnite Maker EPIC Games trial, which required Apple to improve the policy of its app store around external payment. As a result of the decision, Apple was forced to add the links of their app to the developers that point to the web payment options, where Apple is not allowed to take commission.
Apple is now in the process of appealing the decision.
The long fight over the App Store Commissions has increased enmity and disappointment from members of the IOS developer community, believing that their applications are part of the cause of the iPhone's historical success. Many feel that they should be treated with more gratitude for their efforts, not as a resource to withdraw money.
On the other hand, Apple, the radical believes that the app store itself is the reason for the success of the developers, as it provides a marketplace that allows consumers to discover new apps and easily pay for developers' software and services.
It also comes through Apple's latest report, where Apple notes that in the last five years the earnings for the US-based developers have exceeded double, while small trade developers have seen an increase in earnings of 76% from 2021 to 2024. (The latter number is not surprising. In 2020, Apple launched its small business program which is minimal per year.
Apple also reminded the American developers that its app store allows them to reach the global market of 175 countries and regions, and it prevents billions in fraudulent transactions. Its developer investment includes 250,000 APIs as part of the structure such as health, metal, core mL, map and swiftui.
Additionally, the new report highlights how much developers are making from app stores in areas where they do not have to pay commission.
For example, Apple says that last year, the US App Store Ecosystem provided $ 277 billion in the total billing and sales from physical goods and services, $ 75 billion from in-app advertisement and $ 53 billion from digital goods and services. It also notes that, since 2019, spending three times on digital goods and services and spending more than in-app spending on physical goods and services and more than doubled advertising. Normal retail expenses and grocery delivery increased by more than four times.
Author
