The App Store Brought in More than $14 Billion in 2014

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Digital music sales fell in 2014 for the second year in a row. iTunes alone saw a 13 to 14 percent drop in sales. Streaming hasn’t made up the difference, so where are consumers putting their money?

One possible explanation is apps.

Developers made $10 billion in revenue from Apple’s App Store in 2014, a record.

Developers take 70 percent of sales revenue and Apple take 30 percent. This means that Apple made over $4 billion from the App Store, and total sales were over $14 billion. That is a 50 percent increase.

Trends continue… In the first week of 2015 customers spent almost half a billion on apps, another sales record.  January 1st was the biggest sales day ever.

Overall, developers have earned over $25 billion from the App Store.


Nina Ulloa covers breaking news, tech, and more. Follow her on Twitter: @nine_u

4 Responses

  1. Anonymous

    In the past when you gave someone an iTunes gift card, 100% of the money went toward music. Now music has to compete with TV, Movies, Books, Apps, etc. Consumers are showing that they don’t value music as much as they do other forms of content. Which isn’t very surprising when you think about what they get for their money. For the price of a 4 min song they can buy an app with wide range of functionality or significantly more entertainment value.

    • JVJ

      I’m not sure I agree with the idea that consumers don’t value music – I believe they do – but music is free on so many outlets like YouTube or any one of the streaming services. Apps, TV, Books, Movies for the most part are much harder to get digitally free of charge.

  2. Spoken X Digital Media Group

    The wind is blowing in the right direction. Happy New Year to Steve and Howard. . .–LX

  3. Hippydog

    Quote “One possible explanation is apps.”

    the whole gaming industry is also a good explanation..

    I was watching a documentary on the history of gaming and noticed their details on the gaming industry included a time line of the amount of $$ spent which seemed to correspond pretty close to the lowered $$ of the music industry.. ergo.. the loss of income (or at least a significant amount) can be easily shown to be to the splitting of the entertainment industry (gaming (and apps) is now a third part of the entertainment industry)


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