Apple rakes in $20 to $45M from Apps Store
p2pnet news view | Products:- Apple continues to do well out of other people’s work, although LightSpeedVenturePartners doesn’t reckon between $20 and $45 million is anything to get excited about.
“About a month ago Apple announced that one billion iphone apps have been downloaded in the first nine months,” it says.
So how much money is Apple making from the app store?
“Although it’s hard to come by the definitive ratio of free to paid apps, talking to industry participants I got estimates in the 1:15 to 1:40 range,” says the story, going on:
“So that suggests that between 25-60m paid apps have been sold.
“O’Reilly recent did a survey of iphone apps and noted that the mean price for paid apps is $2.65 …
Multiplying this by 25-50 million paid apps, “suggests that the cumulative revenue from iphone apps is around $70-$160m,” says LSVP, saying, “Apple gets 30% of this so Apple has probably made around $20-45m from the billion iPhone apps downloaded.”
But, “Given that Apple sold 13.7m iPhones in 2008, the app store is not a meaningful direct contributor to their overall revenue. Much like iTunes, Apple is using the App Store to drive demand for their hardware.”
Now you know.
LightspeedVenturePartners – Apple has made no more than $20-45m in revenue from the app store, May 13, 2009
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