Apple's App Store Outpaces Google Play in Revenue, Accounting for 67% of All App Earnings

In the realm of app revenue, Apple’s App Store has surpassed its competitors, notably outpacing Google Play. According to Stocklytics.com, Apple’s App Store accounts for 67% of all global app revenues. The analysis solidifies Apple’s App Store position as App developers’ global lead revenue driver. The trend in revenue is interesting, given that most downloads came from Google Play Store.

Edith Reads, a finance analyst from Stocklytics, made her remarks:

Previously, Apple’s stringent quality control posed challenges for developers, demanding meticulous adherence to rigorous guidelines. However, the review process has undergone a significant acceleration, with apps now commonly receiving approval within a week. This heightened efficiency contributes to Apple’s notable revenue success, exemplified by the App Store generating over twice the revenue Google play generated.

Stocklytics Finance analyst, Edith Reads

Fewer Downloads, More Revenue

Consumers spent $127 billion on games and apps in 2022, demonstrating the endurance of the app industry. However, this number indicates a little decline from 2021. During that time, consumers spent $142 billion in total.

Alongside the slight increase in consumer spending for the quarter, there was a little increase in the total number of applications downloaded by consumers in Q1 2023 at 38.2 billion, which came in second only to the 38.7 billion downloaded in Q3 2022.

Apple’s App Store emerged as the unrivalled global leader in generating app revenue. This achievement is particularly striking given that Google Play boasts over three times the install base. Out of the apps downloaded in Google Playstore, only 3% was paid for. 

The data shows the financial prowess of the Apple ecosystem. It also highlights user engagement and the willingness to spend on applications.

Disparities in Downloads – Apple’s Quality Over Quantity

While Apple’s App Store generates more revenue, there are concerns about the download figures. While Apple users downloaded 32.6 billion apps in 2022, it was dismal compared to Google’s Play 110 billion over the same period. Yet, comparing the two, Apple’s lead in revenue generation shows its ability to monetize effectively. It also highlights quality over quantity, indicating that the user base is willing to spend on quality products.

iOS saw the most significant increase, with anticipated installs rising 12% YoY to over 9.1 billion. Installs on Google Play rose 1% year over year to 29.1 billion.

However, when it comes to spending, iOS consumers still spend far more than their Android counterparts. iOS makes up 65% of all app store spending, and the number rises to 71% for solely non-gaming apps.