Elyse Betters Picaro / ZDNET
The Apple App Store carries millions of applications for a range of different use cases and devices, meeting people’s everyday needs, from entertainment to productivity. A new study shows that the developers behind the apps are also winning big.
US developers’ earnings
The Apple-supported study, conducted by Professor Andrey Fradkin from Boston University Questrom School of Business and economist Jessica Burley, Ph.D., from Analysis Group, found that the US App Store ecosystem facilitated $406 billion in developer billings and sales in 2024. This amount reflects a doubling over the past five years, while the overall App Store ecosystem has tripled in the same period.
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Apple said more than 90% of the billings and sales facilitated by the App Store did not have to pay Apple a commission. Since 2019, app-based spending on physical goods and services has more than tripled — led by a surge in retail and grocery delivery. Small developers also had a share in the success, with their earnings increasing by 76% between 2021 and 2024, according to the study.
“For more than 15 years, the App Store has created incredible opportunities for app developers, entrepreneurs, and businesses of all sizes,” said Tim Cook, Apple’s CEO, in the blog post. “We’ll continue to invest in powerful tools, technology, and resources to help developers in the US and around the world take their apps to new heights and create transformative experiences for users.”
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The breakdown of billing and sales earnings came from different revenue streams, with the study estimating that $277 billion in total billings and sales came from physical goods and services, $75 billion from in-app advertising, and $53 billion from digital goods and services. Examples of physical goods and service sales include retail spending and grocery delivery, which the study found increased more than fourfold.
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Beyond the US developers have also been able to monetize worldwide, with many US-created apps leading the most downloaded app charts outside the US.
Tools to create your own app
Apple invests heavily in its developer ecosystem to facilitate the distribution of applications across the App Store. For example, App Store Connect gives developers access to the technologies, tools, and analytics they need to best deploy their apps; the App Store Small Business Program supports small developers; and the US-based Apple Developer Academy teaches students how to code and develop their own apps.
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The emergence of AI tools has made it easier to create your own project, with techniques such as vibe coding, which refers to using AI assistance to create your own project.
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