In 2024, Apple’s App Store facilitated an impressive $1.3 trillion in global billings and sales, with over 90% of this revenue directly benefiting developers without any commission taken by Apple. This substantial figure underscores the App Store’s pivotal role in the digital economy and its commitment to supporting developer success.
A comprehensive study led by Dr. Jessica Burley and Professor Andrey Fradkin of Boston University revealed that the majority of this growth stemmed from sectors beyond Apple’s core app-related revenue. Notably, physical goods and services accounted for over $1 trillion of the total, driven by industries such as e-commerce, ride-hailing, and food delivery. Digital goods and services contributed $131 billion, with gaming, productivity, and content creation apps performing particularly well. Additionally, in-app advertising generated $150 billion, reflecting a strong demand for monetization strategies that do not rely solely on paid downloads.
Since 2019, the App Store’s economic impact has more than doubled. The physical goods and services sector led this growth, increasing by 2.6 times over five years. The surge in online ordering for groceries and food delivery was a significant contributor to this expansion. In the United States, mobile payments linked to iOS apps grew over sevenfold during the same period. In China, e-commerce spending experienced a substantial increase, while in Europe, the most significant gains were observed in food delivery and travel apps.
In 2024, the App Store attracted over 813 million weekly visitors. Operating across 175 storefronts, it supports 44 currencies and enables developers to offer apps using 195 different local payment methods. These features are complemented by tools such as App Store Connect, analytics dashboards, and custom product pages, all designed to help developers reach wider audiences and refine their offerings.
Apple CEO Tim Cook praised the role of developers in driving the platform’s success, stating that their work continues to enrich people’s lives with app and game experiences while creating opportunities for new innovations. He emphasized that Apple remains committed to supporting developers through infrastructure and resources, rather than focusing solely on monetization.
The App Store’s growth is further evidenced by the increasing earnings of developers. By the end of 2022, iOS developers had earned more than $320 billion since the App Store’s inception in 2008, up from $260 billion announced in January 2022. This indicates that developers earned $60 billion in 2022 alone, an acceleration partly attributed to the introduction of the App Store Small Business Program, which reduced Apple’s commission from 30% to 15% for developers earning less than $1 million annually.
Small developers, in particular, have experienced significant growth. Between 2020 and 2022, small app developers on the App Store saw a 71% increase in their revenue. These developers, defined as individuals earning less than $1 million annually from the App Store and having fewer than 1 million downloads across all their apps within a year, now make up approximately 90% of developers on the platform. In 2022, nearly 80% of small developers actively engaged on multiple storefronts, highlighting the global reach and cross-platform strategies adopted to maximize app monetization opportunities.
The subscription model has also played a crucial role in revenue generation. Although only 5% of apps worldwide offered subscriptions last year, they accounted for 48% of app revenue across both app stores. This trend indicates a shift towards recurring revenue models, providing developers with a more stable income stream.
Regionally, the App Store’s impact is notable. In India, the App Store ecosystem generated Rs 44,447 crore ($5.31 billion) in developer billings and sales in 2024. Over 94% of this revenue went directly to developers, bypassing any commission to Apple. Indian developers are thriving on a global scale, with 80% of their App Store earnings coming from outside India, and their apps downloaded over 755 million times globally—double the number from five years ago.
Apple’s App Store continues to be a significant driver of economic growth for developers worldwide. By providing a robust platform with extensive resources and support, Apple enables developers to reach a global audience and achieve substantial financial success. The company’s commitment to fostering innovation and supporting developers underscores the App Store’s role as a cornerstone of the digital economy.
