App Economy Thrives on Subscriptions Amid Declining Downloads in 2025
In 2025, the mobile app industry experienced a paradoxical trend: while global app downloads declined for the fifth consecutive year, consumer spending reached unprecedented levels, largely driven by the proliferation of subscription-based models.
According to Appfigures’ annual report, global consumer spending on mobile apps soared to $155.8 billion in 2025, marking a 21.6% increase from the previous year. This surge occurred despite a 2.7% decrease in app downloads, which fell to 106.9 billion from 109.8 billion in 2024. This decline continues a trend from the peak of 135 billion downloads in 2020. ([techcrunch.com](https://techcrunch.com/2026/01/14/app-downloads-declined-again-in-2025-but-consumer-spending-soared-to-nearly-156b/?utm_source=openai))
The decline in downloads was not uniform across all app categories. Mobile games experienced a significant drop, with downloads decreasing by 8.6% year-over-year to 39.4 billion. This follows a 6.6% decline in the previous year. In contrast, non-game apps saw a modest increase of 1.1%, reaching 67.4 billion downloads and reversing a similar decline from the prior year. ([techcrunch.com](https://techcrunch.com/2026/01/14/app-downloads-declined-again-in-2025-but-consumer-spending-soared-to-nearly-156b/?utm_source=openai))
Revenue trends mirrored this divergence. Spending on non-game apps surged by 33.9% to $82.6 billion, surpassing the $72.2 billion spent on mobile games, which grew by a more modest 10%. Consequently, games now account for 46% of total app spending, down from previous years. ([techcrunch.com](https://techcrunch.com/2026/01/14/app-downloads-declined-again-in-2025-but-consumer-spending-soared-to-nearly-156b/?utm_source=openai))
In the United States, consumer spending on mobile apps increased by 18.1% to $55.5 billion, even as downloads declined by 4.2% to 10 billion. Non-game apps led this growth, with spending up 26.8% to $33.6 billion, while game-related spending rose by 6.8% to $21.9 billion. ([techcrunch.com](https://techcrunch.com/2026/01/14/app-downloads-declined-again-in-2025-but-consumer-spending-soared-to-nearly-156b/?utm_source=openai))
The subscription model has been a significant factor in this revenue growth. Appfigures’ data indicates that developers have successfully encouraged users to engage in in-app purchases and activate subscriptions, compensating for the decline in new app downloads. ([techcrunch.com](https://techcrunch.com/2026/01/14/app-downloads-declined-again-in-2025-but-consumer-spending-soared-to-nearly-156b/?utm_source=openai))
Apple’s App Store has played a pivotal role in this trend. In 2025, the App Store attracted over 850 million average weekly users across 175 countries and regions, facilitating substantial developer earnings. Since its launch in 2008, developers have earned more than $550 billion through the App Store. In 2024 alone, the App Store ecosystem facilitated $1.3 trillion in developer billings and sales, with over 90% of that commerce going directly to developers without any commission paid to Apple. ([apple.com](https://www.apple.com/newsroom/2026/01/2025-marked-a-record-breaking-year-for-apple-services/?utm_source=openai))
The dominance of subscription-based apps is evident across various categories. Lifestyle and fitness apps, in particular, have seen significant growth rates. In 2025, subscription-based apps accounted for nearly 44% of all revenue on the iOS App Store. ([sqmagazine.co.uk](https://sqmagazine.co.uk/app-store-statistics/?utm_source=openai))
The success of subscription models is also reflected in individual app performance. OpenAI’s ChatGPT, for instance, became the most downloaded app on the Apple App Store in the U.S. in 2025, surpassing established social media platforms and essential utilities. This achievement underscores the growing consumer interest in AI-driven applications and their willingness to invest in subscription services that offer continuous value. ([eweek.com](https://www.eweek.com/news/chatgpt-tops-apple-app-store/?utm_source=openai))
The shift towards subscription models has also influenced app development and marketing strategies. Developers are increasingly focusing on creating apps that offer ongoing value to users, encouraging long-term engagement and recurring revenue streams. This approach not only enhances user retention but also provides a more predictable income for developers.
However, the reliance on subscriptions has raised concerns about consumer fatigue. With numerous apps adopting this model, users may become overwhelmed by the cumulative cost of multiple subscriptions. Developers and platforms must balance monetization strategies with user satisfaction to maintain sustainable growth.
In conclusion, the app economy in 2025 demonstrated resilience and adaptability in the face of declining downloads. The strategic emphasis on subscription models has not only offset the decrease in new app installations but has also propelled consumer spending to new heights. As the industry continues to evolve, developers and platforms must navigate the challenges and opportunities presented by this subscription-driven landscape.
