The first was an interview that Phil Spencer, CEO of Microsoft Gaming, gave to the Financial Times. Two pieces of mobile gaming news caught my eye this morning. Winning an ADA is a big achievement for any developer, but it’s also nice to know who the finalists are because it’s quite an honor among the many apps that could have been chosen too. This is the third year in a row that Apple has announced the finalists in advance, which I like a lot. The selections include a broad selection of games and apps, including some apps from smaller developers like Knotwords, Afterplace, and Gentler Streak, as well as titles from bigger publishers. The finalists have been divided into six categories that include six finalists each: Inclusivity The awards ceremony revealing the winners will be held during WWDC at 6:30 pm Pacific on June 6th. However, it’s also important to remember that it’s an engine to which just one company holds the keys.Īs has been the case the past couple of years, Apple has announced the finalists in the running for its annual Apple Design Awards. That’s an enormous accomplishment, of which Apple is understandably proud. In any event, the App Store drives a remarkably large engine of commerce, the likes of which are reminiscent of the Internet itself. Whether that perspective is relevant or persuasive in those contexts remains to be seen. From that broader perspective the fees paid to Apple as a percentage of overall sales are lower, which is an argument the company will surely make to regulators and in antitrust disputes. The message of the report is that the impact of the App Store extends beyond apps, which is accurate. It’s worth considering the broader purpose of this study and the results that Apple has highlighted.
Other categories that saw big increases are grocery sales, food delivery and pickup services, and general retail sales.Ride-sharing and travel sales accounted for a big part of the App Store ecosystem’s growth in 2022.Over 90% of billings connected to the App Store occurred outside of it.The broader App Store ecosystem grew 29%, but digital goods and services, which is a category that includes more than just App Store sales, only grew 2% in 2022.The study includes some interesting insights into the App Store and the economy surrounding it: What the results of the study show is that this more broadly-defined market accounted for about $1.1 trillion in sales in 2022, an enormous number by any measure. Along with app sales and subscriptions, the Analysis Group looked at the sale of physical goods, services, and advertising through apps downloaded from the App Store. What the report shows is that the App Store economy is far larger than just apps.
That was the same group of economists reporting specifically on the success of small app developers, whereas this report extends beyond apps to other transactions facilitated by apps. If you’re thinking, ‘Wait, I thought Apple just issued a press release about the app economy,’ you’re mostly right. According to the report, it was supported by Apple, but the conclusions and opinions expressed in it are those of the Analysis Group alone. Today, Apple released the results of an independent study of the App Store economy by the economists at Analysis Group.
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