When Apple launched the App Store on July 10, 2008, there were only 500 apps available on the market, which brought unprecedented changes to the digital world. Over time, the number of apps in the App Store grew rapidly, eventually reaching a peak of approximately 2.2 million apps in 2017. This success not only transformed the business model, but also profoundly affected the lifestyles of developers, enterprises and users.
“The innovation and vigorous development of applications have made Apple one of the most influential technology companies in the world.”
Initially, before Apple launched the iPhone in 2007, Apple founder Steve Jobs did not intend to allow third-party developers to create native apps for iOS. He wanted developers to focus on developing web applications for the Safari web browser. However, following strong opposition from developers, Apple quickly changed its policy and launched the iOS Software Development Kit (SDK) in March 2008, and finally launched the App Store in July of the same year.
"It didn't take long for developers to realize the huge potential of monetizing the App Store."
Apple claims that the App Store not only promotes the development of digital applications, but also creates a large number of job opportunities, which is called the "app economy." According to reports, Apple has paid more than $155 billion to developers. However, behind these successes are also hidden criticisms of Apple, which mainly focus on whether its 30% revenue share is reasonable and whether it has a monopoly position in the market.
For example, the Dutch Consumer and Market Authority concluded in October 2021 that Apple’s App Store internal purchase commission policy constitutes anti-competitive behavior. As more developers and regulators question this, the situation has prompted Apple to adjust its business strategy.
“The App Store’s applications and monetization models are undergoing unprecedented changes.”
In 2022, Apple announced support for unlisted applications. These applications can only be downloaded through direct links and will not appear in search results. With the growth of the digital economy, Apple has also begun to actively consider opening third-party app stores and sideloading functions to cope with growing competitive pressure.
In addition, as it attaches great importance to application privacy, Apple has launched a "privacy nutrition label" to force applications to clearly indicate their data usage so that users can make better choices.
Apple’s profit model is constantly evolving. Since 2008, the $99 annual fee paid by developers has created countless possibilities for developers. At the same time, Apple has also implemented various charging methods such as "free model", "value-added model", and "subscription model", which allow developers to flexibly respond to market changes according to their own needs.
“This flexibility helps developers keep pace with changing user needs.”
From 500 apps in the early days to millions of choices today, the App Store occupies a pivotal position in the global digital ecosystem. However, with the advancement of technology and competition in the market, how will the future app stores evolve?