App Store: Cash Cow or Cash Conduit?
Apple raking in piles of cash from the App Store?or is it?
By Chris Foresman | Last updated May 14, 2009 10:17 PM
Apple recently sold 1 billion iPhone apps through its highly successful App Store. Now, a well-reasoned analysis from Lightspeed Venture Partners suggests Apple might have pulled in as much as $45 million in revenue for those 1 billion apps. But does that mean Apple is actually making money from the App Store?
As Philip Elmer-DeWitt points out, Apple is also getting money from developers that register to sell apps. The company said earlier this year that it had over 50,000 registered developers; let’s assume the majority are paying the $99 per year individual developer fee (larger developers pay a $299 enterprise fee). That means Apple is also pulling in about $5 million from developers.