Mobile Application Market

The global mobile application market was USD 207 Bn in 2022 and is likely to reach USD 655 Bn by 2031, expanding at a CAGR of 13.7% during 2023-2031. The growth of the market is attributed to the factors such as smartphone proliferation and the rapid development of several mobile applications available at Google Play and Apple Store.

Mobile application (apps) includes various applications that are used for mobile health and fitness, mobile gaming, mobile social networking, mobile music and entertainment, mobile retail and e-commerce among others. The rapidly growing demand for mobile applications is due to several key factors including high internet penetration, smartphone production, and increasing adoption of technology such as machine learning and artificial intelligence (AI) in mobile apps.

Get Free Sample Report

Additionally, majority of the mobile applications are primarily available in key distribution platforms such as Apple Store (iOS) and Google Play Store. Rapid growth of the e-commerce industry and rising number of online sale platforms or websites offering heavy discounts and door-step delivery service are key aspects of the market development.

The availability of low-cost internet data plans as well as high internet speed offered from telecom operators and easy accessibility of the portals using smartphones can easily draw the attention of consumers to download several online mobile apps for buying products. Rising development of gaming technology and availability of addictive mobile games such as crush saga, Pokémon Go, and clash of clans are key factors that urge a large users to download these apps. These games apps are designed to adopt several sensors and technology.

For instance, games such as Pokémon Go use sensors including gyroscope, motion sensors, and accelerometers in tablets and smartphones to ensure the ability of augmented reality (AR) and virtual reality (VR) on the mobile phone. Furthermore, there are primarily three revenue models of the market such as in-game purchases, paid game applications, and in-app advertisements that help to boost the market.

Market Trends, Drivers, Restraints, and Opportunities

• Increasing adoption of smartphones and other consumer electronic devices such as laptop and tablets are projected to boost the mobile application market during the forecast period.
• Rapid expansion of internet penetration and implementation of high-speed internet networks in emerging economies such as India, China, and Brazil are the key driving factor that can fuel market growth.
• Rising demand for mobile apps for healthcare, e-commerce, and educational applications is projected to boost the expansion of the market.
• COVID-19 and its impact had forced to use mobile phone for spending leisure time due to movement restriction caused by the pandemic. This helps to increase the download of several mobile apps, thereby, boosting the market.
• Lack of knowledge and awareness about the usage of mobile applications on electronic devices present a key challenge likely to hinder the market growth during the analysis period.
• Technological advancement and increasing R&D activities from key players aiming to launch new innovative electronic devices especially smartphone are expected to offer numerous opportunities for the expansion of the market.

Scope of Mobile Application Market Report

The report on the global mobile application market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been involved in this report.

Global Mobile Application Market Segment Insights

Based on store, the market is bifurcated into Apple store and Google store. The Apple store segment dominated the market in 2020 in terms of revenue, accounting for more than 56% of the global market share. The segment is expected to constitute a major market share in the coming years owing to rising demand for Apple iPhone and iPad due to high-performance capability, rigorous body, and durability.

The iOS mobile apps or Apple apps can be only accessed by iPhone or iPad users. However, the Google store segment is projected to exhibit a robust CAGR during the forecast period owing to its android support system. In terms of volume, Google Play store held a major share of the market in 2020 and the segment growth is due to its dominance in the smartphone market since more than 2/3^rd of the global smartphones are android-based.

Get Free Sample Report

On the basis of application, the market is classified as gaming, music & entertainment, health & fitness, social networking, and retail & e-commerce. The gaming segment held a dominant market share, accounting for more than 40% of the mobile application market revenue share in 2020 and is anticipated to expand at a significant growth rate in the coming years.

The segment growth is owing to rapid rise of the gaming population and increasing availability of a variety of mobile gaming apps including shooting games, strategic games, and racing games from key developers. On the other hand, the music & entertainment segment is likely to register a substantial CAGR of around 12.3% during the forecast period, 2021 to 2028.

Availability of live streaming mobile music and entertainment applications offered from key developers including Tinder, HBO NOW, Spotify, YouTube, Netflix, Amazon Prime, and Hulu among others present key driving factors for the segment growth. In the U.S., Netflix generated the maximum revenue in the music and entertainment apps, followed by YouTube in 2018.

Surge in the usage of music and entertainment apps is widely propelled by the increasing popularity of streaming services. Live streaming apps including YouTube, Netflix, and Instagram allow users to broadcast live videos for a wider audience and connect them on daily basis.

Get Free Sample Report

In terms of regions, the global mobile application market is categorized by Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America held a major share of the market, representing over 23.5% of the total revenue share in 2020. The presence of key global players in the region including Hewlett Packard Enterprise; Netflix Inc.; Apple Inc.; Google LLC; and Microsoft Corporation is a key driving factor that help the market growth in the region.

On the other hand, the market in Asia Pacific is anticipated to expand at a robust CAGR during the forecast period owing to high internet penetration and smartphone adoption among a large number of population in the region. In the region, China and India are likely to remain the two prominent markets, making large investment to create lucrative opportunities for the mobile application market

Get Free Sample Report

Segments

The global mobile application market has been segmented based on

Store

• Apple Store
• Google Store

Application

• Gaming
• Music & Entertainment
• Health & Fitness
• Social Networking
• Retail & E-commerce

Region

• Asia Pacific
• North America
• Latin America
• Europe
• Middle East & Africa

Key Players

• Xiaomi Corp.
• Ubisoft Entertainment
• Practo, Netflix Inc.
• Microsoft Corporation
• Google LLC
• Gameloft SE
• Cure.fit
• Apple Inc.
• Amazon Inc.

Competitive Landscape

Some key players competing in the global mobile application market include Xiaomi Corp., Ubisoft Entertainment, Practo, Netflix Inc., Microsoft Corporation, Google LLC, Gameloft SE, Cure.fit, Apple Inc., and Amazon Inc. The market is highly fragmented due to the existence of a huge number of big companies and their extensive business operations across the globe. Some market players are involved in acquisitions and partnerships to grow their abilities.

Likewise, Apple Inc. spent a record USD 18.75 billion on research and development in its financial year 2020, growing by about 2.5 billion from its 2019 overall budget. The company launched several dozens of new products in 2019, with immense revenue generation form its key products such as Apple Watch, iPhone, and iPad.