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Sizing Up Apple’s App Store

September 24, 2009
by Nick Wingfield
Reporter, The Wall Street Journal

Nick Wingfield

Apple (AAPL) routinely touts the number of applications people have downloaded from the App Store, but it doesn’t say how much money it makes from the online clearinghouse for iPhone and iPod touch software. Bernstein Research has taken a whack at estimating App Store sales and, while the dollars are mere crumbs to Apple, they are growing quickly.

In a research report published Thursday, Bernstein analyst Toni Sacconaghi estimates the App Store currently brings in $60 million to $110 million in quarterly revenue for Apple, figures that sound big until they are measured against Apple’s revenue last quarter of $8.34 billion. That’s just over one percent of total Apple revenue, if we use the high end of Sacconaghi’s App Store revenue estimate.

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Tagged: Apple, digital, frontpage, hardware, innovation, mobile, software, , , , , , , , | permalink
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