Store and Ads to Deliver $189 Billion to Publishers in 2020

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Apps are increasingly becoming the go-to resource for communication, entertainment, shopping, productivity and more. As a result, the time consumers spend in apps has exploded.

Coupled with the growth of the global installed base of smartphones and tablets, this will set the stage for significant revenue growth. This expanding revenue opportunity will not be exclusive to the top apps and categories, but will be more widely spread across the app economy.

In order to fully capitalize on the app economy’s exceptional growth, publishers need to anticipate future market opportunities when planning for a variety of business scenarios, including product launches, performance goals, international expansion and portfolio management.

To help showcase the opportunities for publishers, we’ve published App Annie App Monetization Report: Publishers to Earn $189 Billion from Stores and Ads in 2020. Key insights include:

  • Combined worldwide in-app advertising and net-to-publisher app store revenue is forecast to grow by 270% — from $70 billion in 2015 to $189 billion in 2020.
  • Though games will continue to capture the majority of revenue, advertising will help apps (excluding games) increase their share through 2020.
  • In-app advertising and freemium will continue to dominate other business models and subscriptions will continue to be an increasingly important type of in-app purchase.
  • The Americas, APAC and EMEA will experience significant revenue growth from 2015 to 2020, with China driving APAC’s particularly strong growth.

Download the complete report from this site.

Microsoft has hit $1 trillion in all-time revenue, and with more profit than Apple

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Last quarter, Microsoft hit a major milestone: $1 trillion in all-time cumulative revenue reports technology consultant Jeff Reifman.

He noticed the milestone while researching a post about Microsoft's tax breaks in the state of Washington.

Microsoft hit the milestone in its last quarter, according to the spreadsheet posted by Reifman.

Apple hit $1 trillion in revenue earlier, in 2015, his research shows.

On the other hand, when it comes to profits, Microsoft has come out slightly ahead of Apple: $261.6 billion in cumulative profits for Apple, and slightly more, $265.2 billion for Microsoft.

Amazon and Google, younger companies than Microsoft and Apple, have not yet hit the $1 trillion revenue mark, but are about half-way there, Reifman reports. Amazon, for instance, came in at $545 billion in all time revenue but only $3.31 billion in profit.

As for Google, Reifman's research shows it has so far earned $417.3 billion in all-time revenue with $96.3 billion, cumulatively, in profit.

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