Cheap Smartphones to Propel App Spending Past $100 Billion
- Mobile app store spending set to more than double by 2020
- Growth led by developing markets, streaming and dating apps
The home screen of an Apple Inc. iPhone 6s is seen in Hong Kong, China, on Friday, Sept. 25, 2015.
Photographer: Xaume Olleros/BloombergWorldwide mobile application store revenue is set to reach $101 billion in five years as smartphones become cheaper and data plans more accessible, drawing in people in developing countries, according to data provider App Annie.
The user base of smartphones and tablets will more than double to 6.2 billion by 2020, up from 2.6 billion, the San Francisco-based company said in a forecast today. Some of the strongest growth will come from countries such as India, Indonesia, China, Mexico, Brazil and Turkey. Revenue generated per device will grow to $16.2 in 2020 from $15.4, boosted by spending in the Americas, Europe and the Middle East, even as average revenue will decline slightly in the fast-growing Asia-Pacific region.