Developers made over $1 billion on iPhone, Jobs says

Developers made over $1 billion on iPhone, Jobs says

Summary: At today's WWDC 2010 Apple announced that payments to developers for iPhone, iPod Touch, and iPad apps have now exceeded $1 billion. Can Android catch up?

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At today's WWDC 2010, Apple announced that payments to developers for iPhone, iPod Touch, and iPad apps have now exceeded $1 billion US. Apple takes care of billing, taxes, and other administrative tasks, and in return takes a 30% cut of all sales. The rest goes directly to developers.

For free applications, developers can make money by showing advertisements instead of on the sale of the app. Apple's new iAd platform aims to take over that market too, with a slightly larger cut going to Apple (40%).

According to a new report by Nielson quoted by Apple, in the first quarter of 2010 here are the smartphone shares in the US:

  1. RIM (Blackberry) 35%
  2. Apple (iPhone) 28%
  3. Microsoft (Windows Mobile) 19%
  4. Google (Android) 9%
  5. Other 9%

However these numbers don't tell the whole story. Only iPhone and Android have any significant developer ecosystem. By the end of June 2010 there will be 100 million "iOS" devices (iPhone, iPod Touch, and iPad) in the field according to Apple. Apple has a good head start on Android, but Android is catching up fast.

Most analysts feel it is inevitable that Android will surpass Apple in the next couple of years given the dozens of partners producing the devices, all trying to compete with each other and with Apple in terms of price and features. But for the near term, Apple still rules the roost.

Topics: Software Development, Apple

Ed Burnette

About Ed Burnette

Ed Burnette is a software industry veteran with more than 25 years of experience as a programmer, author, and speaker. He has written numerous technical articles and books, most recently "Hello, Android: Introducing Google's Mobile Development Platform" from the Pragmatic Programmers.

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6 comments
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  • 1bn

    but i am pretty sure some of them also made a few bucks on android. /sarcasm
    banned from zdnet
    • RE: Developers made over $1 billion on iPhone, Jobs says

      Sure but it's not in the billion dollar range. Yet.
      Ed Burnette
  • RE: Developers made over $1 billion on iPhone, Jobs says

    Wow, sales of over $5,000 per software product developed for the iLine (200K apps splitting up $3B)
    mswift1
    • RE: Developers made over $1 billion on iPhone, Jobs says

      The distribution is wildly uneven of course. Some developers have grossed > $1 million and others have gotten little to nothing.
      Ed Burnette
  • analysts

    "Most analysts feel it is inevitable that Android will surpass Apple..."

    and most analysts have been consistently wrong about the last 12 years about apple and everything tech. why bother what they think?
    banned from zdnet
    • Because, um...

      It's fun to stroke their egos, that's why.
      nix_hed