All the top tweets on Twitter were about the insane YoY (year-over-year) growth of the Google Android Market. Well, if it is 861.5% YoY, it’s of course BIG! I got to know more on this news from TechCrunch – that the actual $ value is puny though the growth is a whopping 861.5%.
Firstly, Google is the king of online advertising. Secondly, even if the $ values appear puny when compared to the App Store, 800+% growth is truly out of the world. Let’s just assume a conservative growth of 500% in 2011, this itself raises Android Market’s revenue to a little over half-a-billion. And, all this with just 2 years into the app market.
Now, back to the ‘firstly’ note on Google being the king of online advertising. According to Gene Munster of Piper Jaffray, Android-related advertising alone would generate over a billion dollars in the year 2012 for Google.
The revenue from the app market would just complement Google’s Android-related ad revenue! So, all the fuss about it being puny and not being the developers honey pot yet(?), is like saying that the glass is half empty. Let’s wait and see how the app markets fare this year and the next. Will we see a decline in Nokia’s Ovi store? This is getting interesting…
Meanwhile, have fun with your Android phone!
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Ah more fraudulent “percentage growth” figures.
Android app “growth” rates for example have plummeted from the equivalent of 6,400% growth in 2008 to only 750% growth in 2010.
22 October 2008 0 apps
23 October 2008 50 Infinite growth
18 January 2009 800 16x growth in 3 months (equivalent to 64x growth over 12 months)
16 December 2009 16,000 20x growth
31 December 2010 120,000 7.5x growth
Oh no!!! Android dropped its growth rate by 300% comparing 3 months in 2008 to 2009! If we extrapolate that over 12 months, Android percentage growth rates dropped 1,200% Year over year. We’re doomed!
In fact from the 22nd to the 23rd of Oct 2008, Android had an INFINITE growth rate going from 0 apps to 50 apps!!! ZOMG!
You see this shows what a complete and utter bit of clap trap nonsense these growth rate figures are.
It is the same with Android Developer income numbers, though the difference is even more drastic.
*App Store Revenue 2009 – 2010*
(source: IHS):
- iOS App Store grew from $769 million to $1.782 billion = $1.013 billion increase
- Android Marketplace grew from $11 million to $102 million = $91 million increase
So annual Android developer income is a meagre 6% of iOS with an annual rate of increase only 9% as large as iOS. The gap between the two is getting far larger every year.
No-one in their right mind would assume Android will see a continuation of an 861% growth rate in 2011 or beyond. As an entity gets larger, percentage growth rates *always* drop and the plummeting graph of Android app percentage growth numbers proves that. SImple maths really.
As such, there is NO possibility whatsoever that Android developer income will pass iOS income in 2012.
However, it is quite evident that the industry is terrified at the dominance that Apple has achieved in such a few short years so companies the world over are going to continue their campaign aimed at discrediting Apple and iOS and paid analysts are only going to continue publishing these blatant lies and distortions at all costs and hope that the general public doesn’t cotton on.
-Mart
“As such, there is NO possibility whatsoever that Android developer income will pass iOS income in 2012″ – very true! However, the whole idea of Android market is to make more money via apps for Google than to enable the developers earn more. Like I mentioned, Google is the king of online advertising – it’s more interested in making billions outta Android-related ads. Now, Apple is trying to take 30% of the cut from the developer if the user buys an app via its app store. This could also be a game changer for the Android vs Apple ecosystem.
@ubiquit
Apple’s 30% take on App sales is far lower than any competitor before them. Handango, Blackberry, Carrier stores and others all used to charge 40%, 50% or even 70% commission. No wonder mobile software sales were so poor for decades before the App Store brought a revelation to the industry.
Heck Amazon only dropped their take on eBooks from 70% to 30% after Apple dropped their bombshell on the industry. And yet where was the hew and cry about them?
Apple’s app sales have to support the billions of free app downloads that Apple doesn’t charge devs for.
There are 30 million app downloads a day from the iOS App Store with many apps such as games, GPS and media apps pushing up close to a gigabyte or more in size. And that is just new app downloads – Apple doesn’t report the enormous additional number of app updates they also support for free forever after the initial purchase.
Do you seriously think that it doesn’t cost anything in bandwidth usage, hosting & server costs and support for such a huge volume of data and transactions, not to mention the large number of credit card processing fees (on $1 billion worth of purchases and an additional $1 billion in in-app purchases last year alone ) etc.
Apple is one of Akamai’s biggest clients.
With the vast majority of apps downloaded being free, we’re not talking trivial back-end costs here.
And the thing is, most developers aren’t complaining – they are instead revelling in the income-generating machine that the iOS store has proved to be. Look at those numbers again. $1.7 billion in income last year. Look at all the iOS developers who have become overnight millionaires.
And even in advertising, iOS beats Android. Mobclix’s Jan 2011 stats demonstrate that in the Advertising game, iPhone users are far more valuable than Android users.
In the Games category, the average iPhone user brought in more than double the advertising revenue per month compared to the average Android user, a third more income in the entertainment category and 30% more in the utilities category.
I say again – even on Google’s home turf – advertising – iOS beats Android.
There are more developers signing on with Apple every month that there are for Android.
These figures are the real game-changers.
-Mart