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{"id":33629,"date":"2023-05-31T21:55:04","date_gmt":"2023-05-31T21:55:04","guid":{"rendered":"https:\/\/scienceandnerds.com\/2023\/05\/31\/apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales\/"},"modified":"2023-05-31T21:55:07","modified_gmt":"2023-05-31T21:55:07","slug":"apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales","status":"publish","type":"post","link":"https:\/\/scienceandnerds.com\/2023\/05\/31\/apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales\/","title":{"rendered":"Apple touts $1.1 trillion in App Store commerce in 2022, with $104B in digital sales"},"content":{"rendered":"

Source:https:\/\/techcrunch.com\/2023\/05\/31\/apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales\/<\/a><\/br>
\nApple touts $1.1 trillion in App Store commerce in 2022, with $104B in digital sales<\/br>
\n2023-05-31 21:55:04<\/br><\/p>\n

\n

Ahead of Apple\u2019s Worldwide Developer Conference<\/a> next week, the company is offering<\/a> an update on its app ecosystem with the release of a new report detailing app earnings over the course of last year. In the analysis, released today, Apple says its App Store ecosystem generated $1.1 trillion in developer billings and sales in 2022, 90% of which was commission-free \u2014 a metric it likes to tout to downplay the growing complaints about the high cost of doing business on a marketplace that generally takes a 15% to 30% commission on in-app purchases and paid downloads, with some exceptions.<\/p>\n

This $1.1 trillion breaks down as $910 billion in total billings and sales from the sale of physical goods and services, $109 billion from in-app advertising, and $104 billion for digital goods and services.<\/p>\n

The figures are a sizable increase from 2019 data, when Apple said the App Store had facilitated $519 billion in commerce,\u00a0<\/a>with then \u201cjust\u201d $61 billion coming from digital goods and services.<\/p>\n

\"\"<\/p>\n

Image Credits:<\/strong> Apple<\/p>\n<\/div>\n

Apple also said iOS app developers have earned more than $320 billion on the App Store from 2008 to 2022, a jump from the $260 billion reported in 2021.<\/a><\/p>\n

Today\u2019s new study comes from the Analysis Group, the same analyst group that Apple first began working with starting in 2020 to crunch its App Store data<\/a> \u2014 and to shine a light on the sizable commerce taking place on Apple\u2019s app marketplace as regulators began working on new rules to dismantle\u2019s the tech giant\u2019s grip on the iOS app ecosystem.<\/p>\n

While the broad totals by category are the main draw in today\u2019s report, Apple shared other figures related to the App Store\u2019s growth, as well. This included a slight uptick in the growth of developer billings and sales between 2021 and 2022, at 29%, when the prior two years saw 27% growth. Small developers\u2019 earnings growth, in particular, grew 71% between 2020 and 2022, outpacing large app developers, Apple noted. (However, that figure is much more of a vanity metric as smaller developers are often pulling in smaller revenues, which are much easier to double or triple compared with larger developers\u2019 revenues.)<\/p>\n

The company further broke down billings and sales by geography, noting U.S. developers\u2019 billings and sales increased by more than 80% since 2019, while in Europe, that figure was 116%. Notably, Europe has been the center of new regulations that will impose strict new requirements on how the App Store operates. With the EU\u2019s Digital Market Act (DMA),<\/a> which comes into effect in 2024, big tech companies will have to allow alternative app stores on their platforms. A recent Bloomberg<\/a> report suggested Apple was already building the groundwork<\/a> to enable this functionality, in fact.<\/p>\n

\"\"<\/p>\n

Image Credits:<\/strong><\/p>\n<\/div>\n

In addition, the new report offered an analysis of app billings and sales growth across various categories, including things like food and grocery, travel, ride-hailing, and others. The analysts found that post-Covid recovery helped travel and ride-hailing app rebound, as the categories saw an 82% increase and 45% increases in sales, respectively, in 2022. Food delivery and pickup sales also more than doubled since 2019 and grocery sales more than tripled.<\/p>\n

\"\"<\/p>\n

Image Credits:<\/strong> Apple<\/p>\n<\/div>\n

Enterprise apps also were one of the \u201cfastest-growing\u201d categories, the report said, adding that business apps represented 5 out of the top 25 most-downloaded apps in the U.S., for example. Plus, entertainment apps saw the \u201chighest growth\u201d in digital goods and services, thanks to trends like the creator economy. The latter reflects a trend already spotted by third-party app intelligence provider data.ai, which cited entertainment and social apps as the top global app subgenres in 2022<\/a>.<\/p>\n

The report included a look at iOS downloads, too, confirming that users have downloaded apps more than 370 billion times from 2008 to 2022. The App Store has nearly 1.8 million apps, or 123 times the figure it had at the end of 2008. (Of note, that \u201cnearly 1.8 million\u201d figure appears to represent a slight drop, as Apple said a year ago it had \u201cmore than\u201d 1.8 million<\/a>.)<\/p>\n

Apple\u2019s first-party data, while useful, only offers a window into the wider app economy. Though Apple\u2019s numbers always paint a picture of a vibrant, rosy app ecosystem, the reality is that some developers have grown frustrated with commission prices and strict rules \u2014 many even sitting down with DoJ lawyers to complain as the U.S. builds an antitrust case<\/a>. Many of the apps now generating sizable revenues are also what could be dubbed \u201cfleeceware\u201d \u2014\u00a0 that is, apps that try to trick consumers into high-priced subscriptions for minimal functionality. One 2021 report even estimated these apps had generated over $400 million<\/a> across the App Store and Google Play, which is a sizable chunk of the app economy. The Washington Post also that year reported<\/a> nearly 2% of the top-grossing App Store apps were scams, and had cost consumers $48 million.<\/p>\n

Meanwhile, the app ecosystem \u2014 including Android app stores \u2014 saw its first-ever slowdown in 2022<\/a>, with a 2% drop in consumer spending, data.ai revealed in its \u201cState of Mobile\u201d annual report.<\/p>\n

Apple\u2019s full report offers more data on its ecosystem, including further regional and category breakdowns, historical analysis, and additional information about trust and safety measures, like app rejections, which were also recently detailed in a separate report<\/a> released earlier this month.<\/p>\n<\/p><\/div>\n

<\/br><\/br><\/br><\/p>\n

Science, Tech, Technology<\/br>
\n<\/br>
\nSource:https:\/\/techcrunch.com\/2023\/05\/31\/apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales\/<\/a><\/br><\/br><\/p>\n","protected":false},"excerpt":{"rendered":"

Source:https:\/\/techcrunch.com\/2023\/05\/31\/apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales\/ Apple touts $1.1 trillion in App Store commerce in 2022, with $104B in digital sales 2023-05-31 21:55:04 Ahead of Apple\u2019s Worldwide Developer Conference next week, the company is offering an update on its app ecosystem with the release of a new report detailing app earnings over the course of last year. In the analysis, […]<\/p>\n","protected":false},"author":1,"featured_media":33630,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","om_disable_all_campaigns":false,"pagelayer_contact_templates":[],"_pagelayer_content":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[26,17,8],"tags":[],"class_list":["post-33629","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-science","category-tech","category-technology"],"yoast_head":"\nApple touts $1.1 trillion in App Store commerce in 2022, with $104B in digital sales - Science and Nerds<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/scienceandnerds.com\/2023\/05\/31\/apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Apple touts $1.1 trillion in App Store commerce in 2022, with $104B in digital sales - Science and Nerds\" \/>\n<meta property=\"og:description\" content=\"Source:https:\/\/techcrunch.com\/2023\/05\/31\/apple-touts-1-1-trillion-in-app-store-commerce-in-2022-with-104b-in-digital-sales\/ Apple touts $1.1 trillion in App Store commerce in 2022, with $104B in digital sales 2023-05-31 21:55:04 Ahead of Apple\u2019s Worldwide Developer Conference next week, the company is offering an update on its app ecosystem with the release of a new report detailing app earnings over the course of last year. 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