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Today, apps are a basic feature of smartphones, with all smartphones
installed with a range of built-in apps. Although some
specific-function apps vary from phone to phone, some of the basic
apps always included in smartphones are an app to check email, an app
to take notes, a Web browsing app, and other such fundamental
connectivity utilities.
Built-in apps have two distinct features. Firstly, these are
inherently included in the phone, and secondly, users usually do not
have the right to delete them. Due to the considerable number of
built-in apps in many phones, some of which the user may never use,
the phone’s storage may be insufficient for the user. This has led
to the term ‘bloatware’, meaning unwanted factory-installed apps.
Eliminating the amount of bloatware has thus become an agenda for
many smartphone makers.
Developing Economies Lead Demand from Global Smartphone
Applications Market
Beyond built-in apps, many apps need to be downloaded from the
internet. Whilst for iPhones, apps can be downloaded from the App
Store, the Google Play Store is the place for downloading apps for
Android phones, although Android also supports apps that have been
installed from other websites.
Many apps are completely free, with their revenue mainly coming from
paid ads. Paid apps also often have trial or permanently free
versions with limited functionality. To offer an alternative to these
two customary options for downloading smartphone apps, some
developers offer freemium apps that are free to install, but include
unlockables or may levy charge for paid add-ons. Lately, freemium
apps have been highly popular among developers and phone owners, so
much so that in-app purchases accounted for 98% of the revenue on the
Play Store in 2014.
Such high revenue contribution of smartphone applications validate
the expected 55% CAGR of the smartphone applications market from 2011
to 2017. As such, the market, which stood at US$6.7 bn in 2011, is
expected to be worth US$155 bn by 2017, according to Transparency
Market Research. A major chunk of the revenue in the smartphone
applications market is expected to be generated in developing
countries such as China and India, where smartphone ownership is
rising dynamically.
Web Apps in Smartphone Applications Market
In 2007, at the time of the release of the first-generation iPhone,
developers did not have a way to develop new apps, and the App Store
did not exist until the second version of the system software was
launched. To cater to these needs, developers built Web apps that
were accessible from a Web browser. Till date, Web apps are used by
many services in addition to or in place of native apps. Web apps,
once loaded in a browsing application, such as Chrome on an Android
phone or Safari on an iPhone, operate like an app rather than like a
website.
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