Skip to main content

156 Billion Mobile Apps Installed Worldwide During 2015

Mobile device users installed nearly 156 billion software applications (apps) worldwide in 2015, generating $34.2 billion in direct (non-advertising) revenue. According to the latest market study by International Data Corporation (IDC), these figures will grow to more than 210 billion installs and nearly $57 billion in direct revenue by 2020.

However, while the market will continue to grow throughout the forecast period, IDC now expects to see slower growth in both application install volumes and direct revenue over time. This trend, which is largely driven by market maturation, will see annual install growth fall to single digits over the second half of the forecast period.

Mobile application install volume will experience a five year compound annual growth rate (CAGR) of 6.3 percent. Meanwhile, direct revenue from mobile apps will also experience slower growth by the end of the forecast period, although the five year CAGR will remain in the double digits at 10.6 percent.

Market Development for Mobile Apps

"While they provide a convenient measure of the mobile app economy and its beneficiaries, we caution that preoccupation with download or install volumes and associated direct revenue may miss the thrust of changes in the mobile marketplace," said John Jackson, vice president at IDC.

According to the IDC assessment, Facebook and Google continue to dominate mobile advertising spending thanks to the scale and sophistication of their network effects, with Facebook's moves to incorporate news and other interests into its experience will likely pull traffic and install volumes away from discreet apps.

Similarly, the emergence of bots, which seek to automate interactions in a contextually infused way, are another in a series of examples of value being created above the mobile device OS layer and even above the app.

Apple's App Store ecosystem captured nearly 58 percent of global direct app revenue in 2015, an increase of 36 percent year-over-year. Meanwhile, Apple's share of global app install volume was only 15 percent -- that's down by nearly 8 percent year-over-year.

The sheer volume of Google Android-based devices in use ensures a greater overall number of installs through the Google Play store, which captured about 60 percent of install volume and nearly 36 percent of direct revenue in 2015.

Although Google Play enjoyed solid year-over-year growth in both downloads and direct revenues, the gains were lower than in previous years. Apple is expected to continue outperforming Google Play in terms of revenue generation.

However, both software app ecosystems are more than sufficiently established to attract more developers.

Popular posts from this blog

How to Drive Value Creation from Digital Business

Across the globe, many forward-thinking CEOs and CFOs continue to fund business technology investments that enable meaningful and substantive digital transformations, ahead of their industry peer group. That's why CIOs and other IT leaders must now accelerate the quest for value creation and drive digital growth from those ongoing investments, according to the latest market study by Gartner. "The pressure on CIOs to deliver digital dividends is higher than ever," said Daniel Sanchez-Reina, VP Analyst at Gartner . "CEOs and boards anticipated that investments in digital assets, channels, and digital business capabilities would accelerate growth beyond what was previously possible." Digital Business Market Development   CIOs expect IT budgets to increase 5.1 percent on average in 2023 -- that's lower than the projected 6.5 percent global economy inflation rate. A Gartner survey analysis revealed several ways in which CIOs can deliver "digital dividends&qu

Digital Transformation Investment at $3.4 Trillion

Business technology leadership matters. Across the globe, more leaders have been pursuing bold Digital Transformation (DX) initiatives with the goal of creating new sources of business value through digital products, services, and experiences. As an additional benefit, the COVID-19 pandemic revealed that digital transformation efforts improve an organization's resilience against global market disruptions. Global DX investment is forecast to reach $3.4 trillion in 2026 with a five-year compound annual growth rate (CAGR) of 16.3 percent, according to the latest worldwide market study by International Data Corporation (IDC). Digital Transformation Market Development "Despite strong headwinds from global supply chain constraints, soaring inflation, political uncertainty, and an impending recession, investment in digital transformation is expected to remain robust," said Craig Simpson, senior research manager at IDC . The benefits of investing in DX technology -- including aut

Artificial Intelligence for National Border Security

National border protection agencies are under pressure to provide the highest level of security in the face of growing threats, such as increasing illegal migration and international terrorism. Now, government agencies are embracing advanced border security technologies to aid in effectively and reliably securing national borders. These solutions look to detect and identify potential threats and prevent them from escalating to a point that may jeopardize security. Security Surveillance Market Development Traditional border security patrols and Closed-circuit Television (CCTV) surveillance systems aren't adequate protection, and agencies must increasingly deploy new solutions to stay ahead of criminals and other potential threats to ensure the safety of a country’s borders. According to the latest market study by Juniper Research, the value of the border security technology market will exceed $70 billion globally in 2027 -- that's rising from $48 billion in 2022. Growing by 47 p