Amid increasing scrutiny from U.S. regulators, Apple has shared the findings of an independent study estimating that its App Store ecosystem generated $406 billion in sales for developers in 2024. This figure is nearly triple the $142 billion reported in 2019, with 90% of that revenue coming without Apple taking a commission, according to MacRumors.
The study was conducted by Boston University professor Andrey Fradkin and economist Jessica Burley of the Analysis Group. It reveals that $277 billion came from the sale of physical goods, a category in which Apple has never charged a commission. An additional $53 billion came from digital goods and services, which are partially subject to fees, and $75 billion was generated through in-app advertising.
The App Store ecosystem has seen significant expansion since 2019. Over the past five years, the income of American developers has more than doubled. Small studios—those earning less than $1 million annually—experienced a 76% increase in revenue from 2021 to 2024. Additionally, nine of the ten most popular apps in the U.S. App Store were created by American developers. Globally, app downloads reached 12.4 billion in 2024, marking a 36% increase compared to 2019.
Growing Developer Revenue and Evolving Spending Trends
The structure of consumer spending within the App Store also changed considerably. Purchases of physical goods through apps have more than tripled in the past three years, while spending on digital goods and advertising has almost doubled. Online retail and grocery delivery services were the main drivers of growth in physical goods sales. Among digital categories, games remain the top revenue generator.
Apple highlighted several developer benefits tied to the App Store, including global reach (175 countries), tools such as Xcode and Swift, secure payment systems, app testing via TestFlight, and analytics support. Users benefit from fraud protection, privacy settings, family sharing, and screen time controls. We’ll keep you updated as more integrations and opportunities emerge for both developers and consumers.
Legal Landscape and Future Outlook
The timing of this study aligns with Apple’s ongoing legal battle with Epic Games, notes NIX Solutions. Following a court ruling, Apple is now required to allow developers to include links to external payment systems, enabling the sale of digital goods without Apple’s commission. This regulatory shift could further reshape the App Store’s future dynamics.
According to CEO Tim Cook, Apple has “been creating incredible opportunities for developers, entrepreneurs, and businesses of all sizes through the App Store for 15 years,” and the company remains committed to investing in tools and technologies to support future app innovation.