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App Store Sales Hit $30M

Monday, August 11th, 2008 at 8:35 AM - by

The App Store, Apple's iTunes-based software distribution system for iPhone and iPod touch applications, appears to be a hit with consumers and has already sold about US$30 million in applications. Over 60 million applications have been downloaded since the App Store's debut a month ago, and it is averaging $1 million in sales a day, according to the Wall Street Journal.

"I've never seen anything like this in my career for software," said Apple CEO Steve Jobs.

Apple takes a 30 percent cut for each application sold and developers get to keep the remaining 70 percent. Apple's cut, according to Mr. Jobs, will cover the company's App Store costs and transaction fees, but not much else. If app sales remain at their current level, however, Apple could see an additional $360 million a year in new revenue.

The market for iPhone and iPod touch looks to be on the rise now that the App Store is open and consumers have an easy way to buy and download software. "This thing's going to crest a half a billion, soon," Mr. Jobs said. "Who knows, maybe it will be a $1 billion marketplace at some point in time."

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A guest said: (hide)

Mon Aug 11, 2008 11:29 am

Imagine if any of the apps actually worked. Most of them quit, crash or are useless. Out of the close to 1500 apps, maybe 100 are worth it. Mostly all they do is crash the iPhone. I only wish I knew that before I spent $100 on apps. I wonder how many more dummies like me there are. Apparently, $30 million dollars worth!

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A guest said: (hide)

Mon Aug 11, 2008 12:04 pm

Wow. Bitter much, guest #1? I've downloaded about 40 in total and have had only one app give me trouble. I've deleted many of the apps, since they haven't been exactly what I wanted, but I have to actually plan what apps I'll buy each week because there are so many I want!

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deasys said:

member since 08 Apr 2003 with 296 posts, unranked, send him a message or view his profile

Mon Aug 11, 2008 2:45 pm

Yo, guest #1: I've downloaded 34 applications and all of them work fine.

Are you sure you're talking about an iPhone/iPod touch?

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gslusher said:

member since 13 Nov 2002 with 2088 posts, unranked, send him a message or view his profile

Mon Aug 11, 2008 7:02 pm

The fact that "Guest #1" doesn't sign up and log on makes his/her/its credibility quite low. Anyone can say anything anonymously. (Not that our "usernames" are all that non-anonymous, of course, but, at least, they give us a "track record.")

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