Apple pre-answered EU App Store probe with a press release

From “Apple’s App Store ecosystem facilitated over half a trillion dollars in commerce in 2019,” posted Monday on the Apple Newsroom:

Apple today announced the App Store ecosystem supported $519 billion in billings and sales globally in 2019 alone. The new study, conducted by independent economists at Analysis Group, found that the highest value categories were mobile commerce (m-commerce) apps, digital goods and services apps, and in-app advertising. The results encapsulate the full sweep of the dynamic, competitive, and flourishing app economy, which has unleashed a torrent of innovation across 175 countries and revolutionized the way the world learns, works, and connects.

The study reveals that the direct payments made to developers from Apple are only a fraction of the vast total when sales from other sources, such as physical goods and services, are calculated. Because Apple only receives a commission from the billings associated with digital goods and services, more than 85 percent of the $519 billion total accrues solely to third-party developers and businesses of all sizes…

The App Store, which launched in 2008, is the world’s safest and most vibrant app marketplace, currently home to almost 2 million apps and visited by half a billion people each week across 175 countries. It helps creators, dreamers, and learners of all ages and backgrounds connect with the tools and information they need to build a brighter future and a better world.

My take: Good timing. And there’s lots more there that came from. Click here.

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  1. Fred Stein said:
    Summarizing from a previous post citing this Press Release:

    EU countries collect about 10% VATs on all the commerce driven by the App Store ecosystem. Apple collects about 4.5% (30% on 15% actually purchased in the App Store).

    For fun: What’s the profit margin on pop corn and soda at a movie theatre? Why can’t I sell pop corn inside a movie theater or in DisneyLand?

    June 16, 2020

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