Overview of Apple’s 2024 App Store Report
Ahead of its highly anticipated Worldwide Developers Conference (WWDC) on June 9, Apple released new insights into its App Store’s economic footprint. According to the company, developers generated a staggering $1.3 trillion in billings and sales in 2024. Notably, 90% of this revenue bypassed Apple’s commission structure, signaling a diversification in monetization strategies within the ecosystem.
These findings stem from a new Apple-commissioned study conducted by Professor Andrey Fradkin of Boston University and Dr. Jessica Burley of the Analysis Group—economists who have consistently supported Apple during antitrust investigations.
Breakdown of Developer Revenue Streams
Digital Goods and Services
The App Store generated $131 billion from digital goods and services in 2024. This segment includes high-performing categories such as:
Mobile games
Photo and video editing tools
Enterprise applications
The growing demand for productivity and creativity tools highlights the shift in consumer behavior toward mobile-first solutions.
Physical Goods and Services
Physical goods and services accounted for over $1 trillion, the largest share of App Store-facilitated commerce. The rise is largely due to:
Online food delivery
Grocery and pickup services
This segment has seen 2.6x growth since 2019, emphasizing the pivotal role of app-driven commerce in daily life.
In-App Advertising Revenue
In-app advertising generated $150 billion, reflecting how app monetization has evolved beyond direct consumer spending. This stream has become essential for developers offering free or freemium models.
The App Store’s Role in the Mobile Ecosystem
Apple emphasizes the App Store as a critical distribution hub that provides:
Discoverability for new apps
Technical infrastructure and support
Developer resources including analytics, anti-fraud systems, and frameworks
While this support system offers value, critics argue that the App Store’s tight control limits developer autonomy—especially given its maturity as a platform and its role in selling iPhones.
Regulatory Pressure and Developer Autonomy
The regulatory landscape is rapidly changing. In the U.S., a recent ruling in favor of Epic Games now allows developers to link to external payment options, reducing reliance on Apple’s in-app purchase system.
In Europe, Apple faces increasing pressure under the Digital Markets Act (DMA), which mandates:
Developer rights to inform users about third-party payment options
Reduced gatekeeping over app distribution
These developments are reshaping how developers approach business models and user communication.
Global Growth Trends and Mobile Payments
Regionally, the report notes substantial growth:
U.S., China, and Europe saw App Store billings more than double since 2019
Digital payment adoption in the U.S. grew 7x during the same period
This indicates widespread consumer trust in mobile transactions, paving the way for frictionless commerce.
Implications for Entrepreneurs and App Developers
Whether you’re a solo developer or scaling a mobile startup, these insights carry strategic importance:
Diversify revenue streams—combine digital sales, physical goods, and advertising
Leverage mobile payment trends to improve customer experience
Stay informed on regulatory shifts that may open new monetization paths
Conclusion and Key Takeaways
Apple’s 2024 App Store report underscores the economic scale and influence of the mobile app economy. With over 813 million average weekly visitors, the App Store remains a key platform for reaching global audiences.
However, as regulatory frameworks evolve and alternative distribution models gain traction, developers must adapt—by innovating monetization, refining user experience, and staying agile in a shifting digital environment.
At Trenzest, we’re here to guide you through this transformation. Whether you’re building your first app or scaling an existing business, we offer insights, strategies, and tools tailored to the mobile-first world.
