Greg Sterling Sterling Market Intelligence/Opus Research A Few Words about Mobile Apps

SMS: Broadest reach, platform “agnostic” Apps: Richest experience, smaller audience Mobile Web: PC sites rendered in browsers can be optimized Segments: SMS, M-Web, Apps Reach Functionality

The iPhone has popularized mobile applications Now every major smartphone platform has apps; many operators too Apps Pre-Date the iPhone, but . . .

The iPhone has popularized mobile applications

Now every major smartphone platform has apps; many operators too

Apps All Around The Major Platforms: iPhone: 100,000 (approx); 2 billion downloads Android: 10,000 RIM/BlackBerry: 3,040 Nokia Ovi Store: 660 Windows Mobile (Marketplace): 246 Palm: 100 official, 280 “homebrew” Source: company reports, range of estimates

The Major Platforms:

iPhone: 100,000 (approx); 2 billion downloads

Android: 10,000

RIM/BlackBerry: 3,040

Nokia Ovi Store: 660

Windows Mobile (Marketplace): 246

Palm: 100 official, 280 “homebrew”

Number of Downloads (Monthly) Source: AdMob 8/09, (US data)

Engagement: Time Spent with Apps Source: AdMob 8/09, (US data)

Many Intentions & Uses of Apps Branding Zippo Lighter Rugby (Ralph Lauren) New Revenue Sports Illustrated Jimmy the Bartender Reference Apps Games Advertising Seventeen Magazine Style.com Commerce/Lead Gen Amazon Mobile eBay Adobe

Branding

Zippo Lighter

Rugby (Ralph Lauren)

Meaningful Revenues (for Companies) Generated US$1 million in sales since launch -- roughly 3 mos. ago

Generated US$1 million in sales since launch -- roughly 3 mos. ago

Meaningful Revenues (for Developers) Pinch Media: iPhone: 2B app downloads; paid apps 610M of that Revenue earned by developers in 15 mos. approx US$900M Hypothetical average paid app revenue to developers: $12,100 ($8.5K net) £7446 (£5230) No “average” (only big winners and underperformers)

Pinch Media:

iPhone: 2B app downloads; paid apps 610M of that

Revenue earned by developers in 15 mos. approx US$900M

Hypothetical average paid app revenue to developers: $12,100 ($8.5K net) £7446 (£5230)

No “average” (only big winners and underperformers)

Paid Apps Used More Heavily Source: Pinch Media (10/09)

Usage of Most Apps Doesn’t Last Most apps are downloaded but abandoned quickly