The iTunes App store is thriving

Sun, Nov 30, 2008

Analysis, Featured, Finance, News

Charles Teague over at DragonStyle has done some interesting research on the iTunes app store which highlights the tremendous growh the iTunes app store is experiencing. The following charts are reproduced with permission, and encapsulate all applications currently available in the iTunes app store.

There are currently over 9000 apps available for sale in the iTunes store, and there are no indications of it slowing down anytime soon.  There have been some recent reports indicating that the number of available applications have surpassed 10,000, but MacRumors correctly points out that the actual number of available applications is closer to 9,700, a discrepancy caused by applications that have subsequently been removed by Apple from the app store.

Nearly 25% of all applications are free, which if you do the math, equates to over 2000 free applications for users to choose from.  And while some of those freebies might be crap, a good number of them are extremely popular and include apps such as Pandora, Google Earth, and Shazam.  Moreover, all of the top downloaded applications are free, and Teague noted that “the most popular paid application is #48 on the list of all of the most popular applications.”

With respect to pricing, the vast majority of paid apps are $.99 and interestingly enough, there are actually more applications for $.99 than there are free ones.  The average selling price of an app in the app store is $3.21, and the average price of paid apps is a tad higher at $4.15.

Related: Crapware in the iTunes App Store – a case study

Not surprisingly, the most expensive category of apps fall under the business, finance, and healthcare categories.

With respect to the distribution of applications across categories, the results aren’t too surprising.  Nearly 25% of all applications offered in the app store fall under the ‘Games’ category, which translates into well over 2,000 games which are available for download from the app store.

Just one month after its debut, Steve Jobs noted that over 60 million apps had been downloaded and that the store was raking in over 1 million dollars a day.  Since then, the popularity of the app store has continued to grow at an impressive rate.  There have already been more than 200 million downloaded applications, and developers are increasingly focusing their energies on iPhone development.  Full featured app stores will soon be available for Android and BlackBerry Storm users, but the question is whether or not those stores will be available to attract enough developers to make those app stores worthwhile. 

Related: Why Developers Prefer The iPhone


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5 Comments For This Post

  1. s4rc4stic1 Says:

    I will stay smart and not remain iGnorant. Screw the iPhone.

  2. Jake Says:

    The iphone is actually quite amazing. I bought one reluctantly, and was extremely impressed with it’s capabilities. To the hero that says he will stay “smart,” I’m sure the Motorolla RZR phone is right up your alley. Any idiot can use one of those. You and all of your buddies can keep them in business. The rest of us will continue using our iphones. Obama thanks you for your support, moron.

  3. Name Says:


  4. PResto Says:

    What’s funny is the “well I wasn’t a believer then bought one” deal that turned into a bash. Good job on defending the phone. Point is iWhatevers are more expensive than other competitors, WAY more. Why buy an iPod for the “Cool factor” when you can buy another brand and save money? My Nokia can handle MANY of the same features/mp3’s/etc. and was much cheaper. It’s not a bash on iPod, just wanting to keep my money.

  5. Jacob Says:

    I love the iPhone 3g I couldn’t live without mine well maybe I could but it wouldn’t be tht fun!!!!! Apps in the store are amazing!!! I love when new games come out and I love the ones tht take advantage of the tilting of the iPhone it makes it tht much better!!!!!!

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