23.02.2012

Mathematics from Apple

Apple’s popularity plays into the hands of developers: they receive $12 from each iOS device sold by the company.

On average, each download from the Apple App Store generates about 0.23 cents of revenue, according to analyst Horace Dedui from Azimco. This means that as soon as Apple gets 25 billion downloads (and this will happen very soon), we can assume that each of the 335 million iOS devices sold brings developers about $ 12. 

Dedui’s conclusions are based on two well-known figures. Firstly, the $4 billion that Apple has paid developers for the entire existence of the market. And, secondly, respectively, 25 billion downloads, which the company will gain during this week. 

According to the calculations of the Grandfather, if the App Store paid $ 4 billion to developers, then in total for the same 4 years it earned 5.7 billion, since, as you know, the company takes 30% for itself. This, in turn, means that if you divide the total revenue of the market by the number of downloads, you will get a figure of 0.23 cents of gross income for each download and 0.16 cents going into the pocket of the developer, again from each download.

Despite some freedom with the figures shown by the analyst (Apple reported about the payment of $ 4 billion a month ago, at the same time it published information about the sale of 315 million devices, so the figure of 335 devices sold at the moment is taken from the ceiling. And the company is still gaining 25 billion downloads), we can assume that they are of the same order with real data.  

Yes, as for the figure of $ 12, then everything is pretty simple here too. It is known that on average, 75 applications are downloaded to each iOS device. Multiply 0.23 cents by 75 and get $17 from each device. If we multiply 0.16 cents by 75, we get $12 for developers from each iOS gadget sold by Apple. 

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