This Week in Apps: Key Developments Shaping the Mobile Landscape
Welcome back to our weekly deep dive into the ever-evolving world of mobile apps. The app economy continues to thrive, with staggering statistics underscoring its dominance: 204 billion downloads and $120 billion in consumer spending in 2019 alone. Users now average 3 hours and 40 minutes daily on apps—rivaling traditional TV consumption. Beyond entertainment, apps represent serious business, with mobile-first companies boasting valuations 6.5x higher than their non-mobile counterparts.
Spotlight Stories
App Store Commission Changes: Who Really Benefits?
New data sheds light on how Apple’s revised App Store fees impact developers:
- 98% of iOS developers earn under the $1M threshold qualifying for reduced 15% fees (vs standard 30%)
- Only 2% of developers surpass $1M in annual revenue
- Top revenue categories among high-earners:
- Games (53%)
- Health & Fitness
- Social Networking
- Entertainment
- Photo & Video
Interestingly, just 1.5% of developers generating over $1M account for 29% of total revenue in this bracket. The changes appear to benefit the vast majority of smaller developers while maintaining Apple’s revenue from top earners.
Snapchat Enters the Short-Form Video Arena
Snapchat launched Spotlight, a TikTok-inspired vertical video feed featuring:
- Algorithmically-curated content
- Music-powered videos
- $1M/day creator incentive program
This strategic move positions Snapchat as a serious compe***** in the booming short-form video market.
India Expands Ban on Chinese Apps
India’s latest cybersecurity measures include banning 43 additional Chinese apps, bringing the total to over 220. Notable new additions:
- Snack Video (short-form platform)
- AliExpress (e-commerce)
- Taobao Live (shopping)
The ban has effectively removed all Chinese apps from India’s top 500 most-used applications.
Platform Updates
Apple Ecosystem News
- App Store Connect now requires two-step verification
- Holiday schedule announced (no submissions Dec 23-27)
- SKAdNetwork 2.0 adds enhanced ad tracking capabilities
Privacy Developments
- Apple confirms App Tracking Transparency feature coming in 2021
- Baidu apps removed from Google Play for data leakage issues
Notable App Updates
- Fortnite introduces $12/month subscription bundle
- 14 U.S. states now offer COVID-19 contact tracing apps
- TikTok adds epilepsy safety features
- Google Docs gains Microsoft Office editing on iOS
- Spotify continues testing Stories feature
Market Trends
- Retail apps surge 27% as brick-and-mortar stores go digital
- Mobile shopping expected to hit 110M hours this holiday season
- PayPal and Square dominate Bitcoin acquisitions
Funding & Acquisitions
- Homesnap acquired for $250M by CoStar Group
- Kahoot purchases language app Drops for $50M
- Current banking app raises $131M Series C
- Square buys Credit Karma Tax for $50M
The app industry continues to demonstrate remarkable innovation and growth, with platforms evolving to meet changing user behaviors and market demands. Stay tuned for more insights into this dynamic sector.
