Apple, as we know is a leading innovator of iPhones. But this article talks about the other side of Apple Inc. Apple’s app store and its stats. Apple Inc. emphasizes on its service business that comes from subscription content services like AppleMusic, AppleTV, iPhone warranties, licensing revenue.
Though now, Apple Inc doesn’t disclose the total revenue amount its App store makes every year they do publish stats about its app store every January since 2013. Here are some interesting facts about Apple’s App store this year:
- Apple’s app store collected $1.42 billion in sales between Christmas & New Year in 2019.
- Most revenues on a single Apple’s app store reported were on 1st Jan this year with $386 million.
- 50% of Apple Music users user lyric sync feature.
- Apple now has more than 100 million active users from US, UK, Australia and Canada combined.
- Apple’s business model is shifting to focus on services revenue with more than 1.4 billion iPhones, iMac, iPad, Apple TV & Watch users.
- Apple is very close to producing its 2 billionth iPhone.
Apple paid nearly $155 billion to its app store developers since 2008, up from $120 billion in Jan 2019. Apple’s app store has total sales of around $50 billion in 2018 assuming that developers take up around 70% of Appstore’s sales.
With this, Apple Inc will now on number 64 on Fortune 500 list, ahead of Cisco & Morgan Stanley.
Apple paid $35 billion to developers in 2019, which is a 2.9% higher than 2018 but a significant slowdown as compared to 2017 figures (30% decline).
But if we are to compare the app store’s yearly report, it is believed that the app store is now showing a slight decrease in its reports. Apple Inc. however strongly believes that for the time the team is doing well, and things will be better when Apple launches its 5G iPhones.
With time, Apple’s business model saw a major change. While some years ago the conglomerate used to depend on its product, now the company is shifting its focus to its app store and related services.
Only time will tell how profitable Apple’s app store is, but as of now, the company is trying hard to set a strong foothold in its services business. With more than 1.4 billion userbases from different products, its time for Apple to emphasize on its services (which was a long-term view of its CEO)
Is Apple Inc. slowly coming to the top where they face only marginal downfall? What’s your take o this?
