Skip to main content

Mobile App Revenues will Reach $99 Billion in 2019

The market for mobile software applications has evolved dramatically over the past 6 years. However, just 1 percent of applications are now paid for at the point of download.

The vast majority of mobile apps are monetized through advertising, or through either subscribing to content post-download, or through a series of one-off purchases of premium content.

Annual revenues from mobile apps accessed via mobile handsets and tablets are expected to reach $99 billion by 2019, according to the latest worldwide market study by Juniper Research.

The research found that while games would continue to account for the largest share of revenues for the next five years, highest growth would be experienced in areas such as lifestyle applications -- such as dating and navigation -- and via eBook sales.

Mobile App Payment Evolution

According to the Juniper assessment, a significant proportion of online dating activity is now migrating to mobile devices -- with dating accounting for four of the top twenty grossing UK iOS apps in early-2015.

The global study findings argued that with online dating now mainstream, most net growth in the sector is likely to occur via smartphone usage.

Meanwhile, the research observed that navigation apps continued to buck the trend towards freemium and use a  Pay Per Download (PPD) model, with many apps charging a high ($50 plus) one-off price.

However, Juniper believes that even here the model was expected to transition to a subscription-based model -- with features including live traffic updates allowing for ongoing revenue streams.


Few Companies Offer App Stores

Additionally, the research confirmed that while a few mobile network operators still maintained app storefronts, these now accounted for less than 2 percent of app downloads worldwide.

"Operators have finally recognized that they cannot compete with Apple and Google from a content distribution basis. If they are to monetize content, that revenue has to come from bundling content into subscriptions or through leveraging the billing relationship," said Dr Windsor Holden, head of forecasting and consultancy at Juniper Research.

Other findings from the market study include:
  • More than 235 billion apps will be downloaded worldwide this year.
  • Baidu in China is now the second-largest storefront, behind Google.
  • Barely 1 percent of all application purchases are now paid for at the point of download.

Popular posts from this blog

Industrial Cloud Computing Apps Gain Momentum

In the manufacturing industry, cloud computing can help leaders improve their production efficiency by providing them with real-time data about their operations. This has gained the attention of the C-suite. Total forecast Industrial Cloud platform revenue in manufacturing will surpass $300 billion by 2033 with a CAGR of 22.57 percent, driven by solution providers enhancing platform interoperability while expanding partner ecosystems for application development. ABI Research found the cloud computing manufacturing market will grow over the next decade due to the adoption of new architectural frameworks that enhance data extraction and interoperability for manufacturers looking to maximize utility from their data. Industrial Cloud Computing Market Development "Historically, manufacturers have built out their infrastructure to include expensive data housing in the form of on-premises servers. The large initial upfront cost of purchasing, setting up, and maintaining these servers is

Credit Scoring Service Spending will Reach $44B

Credit scoring is a method that lenders use to predict the probability a borrower or counter-party will default on loans, or incur additional charges for repayment -- also known as measuring credit worthiness. The method is a key tool in making credit affordable for individuals and businesses. It links credit products to risk potential, connecting borrowers to secondary capital markets and increasing the amount of funds available. This securing process establishes risk predictability dependent on a number of factors, determined by financial indicators and other publicly available information reported by the credit bureaus. Credit Score Market Development According to the latest worldwide market study by Juniper Research, they now forecast credit scoring services will grow by 67 percent to $44 billion by 2028. Juniper anticipates that emerging markets will experience the greatest growth -- projecting the African & Middle Eastern region to grow by 117 percent over the forecast period

Demand for Quantum Computing as a Service

The enterprise demand for quantum computing is still in its early stages, growing slowly. As the technology becomes more usable, we may see demand evolve beyond scientific applications. The global quantum computing market is forecast to grow from $1.1 billion in 2022 to $7.6 billion in 2027, according to the latest worldwide market study by International Data Corporation (IDC). That's a five-year compound annual growth rate (CAGR) of 48.1 percent. The forecast includes base Quantum Computing as a Service, as well as enabling and adjacent Quantum Computing as a Service. However, this updated forecast is considerably lower than IDC's previous quantum computing forecast, which was published in 2021, due to lower demand globally. Quantum Computing Market Development In the interim, customer spend for quantum computing has been negatively impacted by several factors, including: slower than expected advances in quantum hardware development, which have delayed potential return on inve