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Apple claims 'half a trillion dollars' app economy

16.06.20, 04:11
Apple claims 'half a trillion dollars' app economy

Apple has said that its App Store ecosystem "facilitated half a trillion dollars" of trade in 2019.

The firm

Developer unrest

The study's publications coincides with a call by the US House Judiciary Committee for Apple's chief executive Tim Cook and other tech leaders to answer questions about anti-trust concerns, according to reports.

News site Axios said on Friday that the committee also planned to compel Apple, Google, Amazon and Facebook to disclose internal documents about their digital markets if they did not share them voluntarily

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Apple plans to host its Worldwide Developers Conference next week. Ahead of the event, the co-founder of a leading business software developer published its own list of concerns about Apple's business practices.

Among changes called for by Omni Group's Will Shipley were:

  • a reduction in Apple's cut of digital sales from 30% to 20%
  • the right to charge upgrade fees for major changes to software
  • an end to ads in the App Store to prevent search results for a specific item giving prominence to a competitor's product
Image copyright Omni Image caption The Seattle-based Omni Group makes productivity apps for Apple's computers

"Apple has a market cap of about $1.5tn and it extracts more margin than any other company from the mobile phone market," commented Ben Wood from the consultancy CCS Insight.

"It's keen to remind people that it has had to work to build this platform. But now it has become so powerful, it's unsurprising that people are questioning whether the original terms of engagement are still fair."

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