How to participate in the $25 billion app economy

Summary:One developer's mini success story: Multiply by 3 million, and you have a thriving economic model for service development.

As we move deeper into a service-oriented economy, the "app economy" will take on greater meaning, as entrepreneurs and mega-corporations alike spin app development into profitable business lines.

Trevor McKendrick (no relation that I'm aware of, honest!) just posted an interesting account of his year in the app business. Trevor built and launched a Spanish Bible mobile app for the iPhone in April 2012, and has so far netted more than $73,000 — after Apple's cut. The total development cost was $500.

The first version of the app was fairly basic, but, as demand grew, he was able to release a more polished update. He also released an audio version as a follow-on.

The takeaway here is that many online services — including those consumed by enterprises — are being independently produced by developers, and being made available in an open market type of environment. ABI Research estimates that the app economy will hit $25 billion this year. Call them "micro-ISVs" — representing a new attitude and opportunity, reshaping the way applications and services are being brought out to the world.

Topics: Apps, Cloud

About

Joe McKendrick is an author and independent analyst who tracks the impact of information technology on management and markets. Joe is co-author, along with 16 leading industry leaders and thinkers, of the SOA Manifesto, which outlines the values and guiding principles of service orientation. He speaks frequently on cloud, SOA, data, and... Full Bio

zdnet_core.socialButton.googleLabel Contact Disclosure

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Related Stories

The best of ZDNet, delivered

You have been successfully signed up. To sign up for more newsletters or to manage your account, visit the Newsletter Subscription Center.
Subscription failed.