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The State of the App Market in 2025: What Founders Need to Know
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How Big Is the App Market?

As of 2025:

  • There are over 5.7 million apps available across the two major platforms:
    • Apple App Store: ~1.8 million apps
    • Google Play Store: ~3.9 million apps

These numbers fluctuate slightly due to app removals and new submissions, but the trend is steady: the app ecosystem is massive, yet mature.

How Much Is Being Spent?

  • Global consumer spending on mobile apps hit $185 billion in 2024, up from $170 billion in 2023. 2025 is expected to top $200 billion.
  • In-app purchases, subscriptions, and ads are the biggest revenue drivers.
  • iOS users still spend more per capita than Android users, though Android dominates in global downloads.

Notably, subscriptions now account for over 65% of app store revenue on iOS.

What Types of Apps Are Most Successful?

The most profitable app categories (by total revenue) are:

  1. Games – Still dominate the app economy, generating over 50% of all app revenue globally.
  2. Video Streaming – Netflix, YouTube, and regional players lead this space.
  3. Social Media & Communication – TikTok, WhatsApp, Telegram, and Instagram are top earners from ads and engagement.
  4. Health & Fitness – Subscription-based wellness and fitness coaching apps (e.g., MyFitnessPal, Calm, Strava) perform well.
  5. Productivity & SaaS Tools – Apps that solve clear problems for businesses or professionals (think Canva, Notion, Zoom) are rising in value.

Hidden winner: Niche utility apps that serve very specific audiences (e.g., golf tee time managers, field service schedulers, religious study tools) often yield high margins on low user volumes.

What’s the Average App Earning?

This is where the reality check comes in.

  • The average revenue per app is less than $500 per month.
  • 23% of apps make between $500 and $50,000 per month
  • About 5% of apps make more than $10,000 per year.
  • Only about 0.5% of apps earn over $1 million annually.

App income is heavily skewed: a small number of top apps capture the vast majority of the market's revenue.

So... Is It Worth Building an App?

Yes—but only if you have:

  • A clearly defined niche or problem you're solving.
  • A revenue model (subscription, ads, B2B, etc.) baked in from day one.
  • A marketing and retention plan—building the app is the easy part; distribution is where most fail.
  • The ability to ship fast and iterate based on user feedback.

Apps like GameDay Pro, for example, are successful not by going mass-market but by dominating a clear use case (e.g., amateur sports coordination, local golf league management) and monetizing a committed community.

The Bottom Line

The app economy is alive and well, but it’s also fiercely competitive and uneven. The winners in 2025 are not necessarily the most downloaded—they’re the ones that build a loyal user base, provide real utility, and implement sustainable revenue models early on. If you're planning to build or invest in an app, start with the business case—not just the code.

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