Nearly 156 billion mobile applications have been installed worldwide in 2015, says a report from International Data Corporation (IDC). This has generated $34.2 billion non-advertising revenue in the sector.
According to IDC, this figure will continue to rise and is estimated to reach 210 billion installs generating a direct revenue of $57 billion in 2020. Although IDC predicts this growth, it is estimated that the market will showcase a slow growth both in terms of revenue generation and installation over time. IDC attributed the current phase of growth to market maturation.
The firm also predicted that the growth will fall into single digit over the second half of forecast. Mobile application install volume will still experience a five-year compound annual growth rate (CAGR) of 6.3%. Meanwhile, direct revenue from mobile applications will also experience slower growth by the end of the forecast period although the five-years’ CAGR will remain in the double digits at 10.6%.
Apple’s App Store captured nearly 58% of global direct app revenue in 2015, marking an increase of 36% year-over-year. Meanwhile, Apple’s share of global app install volume was 15%, down nearly 8% year-over-year. Google Play captured about 60% of install volume and nearly 36% of direct revenue in 2015.