Apple: More than $600 billion was spent through App Store last year

About This Source - CNBC Television

CNBC is an American pay television business news channel, which primarily carries business day coverage of U.S. and international financial markets. Following the end of the business day and on non-trading days, CNBC primarily carries financial and business-themed documentaries and reality shows.

As of February 2015, CNBC is available to approximately 93,623,000 pay television households (80.4% of households with television) in the United States.

Recent from CNBC Television:

  • Cerence CEO: How semiconductor shortage impacts business
  • One dead after man accidentally drives truck into group at pride parade in Florida
  • Small Business Association program leaves venues shuttered
  • CNBC Television published this video item, entitled “Apple: More than $600 billion was spent through App Store last year” – below is their description.

    CNBC’s Josh Lipton reports on Apple’s App Store sales and billings for 2020. For access to live and exclusive video from CNBC subscribe to CNBC PRO:

    Apple said Wednesday that its App Store facilitated an estimated $643 billion in billings and sales during 2020, according to a new study commissioned by the company.

    The figure marks a 24% increase from last year, as the Covid-19 pandemic pushed many consumers toward their phones and tablets.

    The latest figures come as Apple faces increased scrutiny over how it profits from in-app purchases. Apple takes a cut of between 15% and 30% from purchases of software or digital goods from apps distributed through the App Store.

    Developers have alleged that Apple’s App Store platform is unfair to smaller companies. Most recently, Epic Games sued Apple and argued in court that the company’s App Store is anti-competitive.

    Apple has denied the allegations and has said it “does not have a dominant market share in any category where we do business” and recently cut its App Store commissions to 15% for smaller companies. In response to the suit, Apple is arguing that it built the App Store and gets to set the rules, which are designed to ensure that apps are high quality and secure.

    The study from the Analysis Group includes both transactions that Apple handles, including paid apps and in-app purchases, as well as purchases and other economic activity that happened through apps where Apple wasn’t directly involved, such as sales of ads in apps. The report said that about 90% of total billings and sales facilitated by the App Store ecosystem in 2020 occurred outside of the App Store, meaning that Apple collected no commission on those sales.

    The report also comes ahead of Apple’s annual developers conference, WWDC, and highlights the company’s work with small businesses. Wednesday’s announcement suggests there’s a lot of money to make from apps, and is likely an effort to continue to attract people to build new services around Apple products.

    According to the study, the $643 billion generated through iPhone and iPad apps in 2020 is made up of:

    $511 billion from sales of physical goods and services through apps, including $383 billion from retail apps, $38 billion through travel apps, and $36 billion from food delivery and pickup

    $86 billion from digital goods and services

    $46 billion from in-app advertising

    » Subscribe to CNBC TV:

    » Subscribe to CNBC:

    » Subscribe to CNBC Classic:

    Turn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.

    The News with Shepard Smith is CNBC’s daily news podcast providing deep, non-partisan coverage and perspective on the day’s most important stories. Available to listen by 8:30pm ET / 5:30pm PT daily beginning September 30:

    Connect with CNBC News Online

    Get the latest news:

    Follow CNBC on LinkedIn:

    Follow CNBC News on Facebook:

    Follow CNBC News on Twitter:

    Follow CNBC News on Instagram:



    CNBC Television YouTube Channel

    Got a comment? Leave your thoughts in the comments section, below. Please note comments are moderated before publication.

    In This Story: COVID-19

    Covid-19 is the official WHO name given to the novel coronavirus which broke out in late 2019 and began to spread in the early months of 2020.

    Symptoms of coronavirus

    The main symptoms of coronavirus are:

    • a persistent new cough (non productive, dry)
    • a high temperature (e.g. head feels warm to the touch)
    • shortness of breath (if this is abnormal for the individual, or increased)

    Latest News about Covid-19

    Below are stories from around the globe related to the 2020 outbreak of novel Coronavirus – since the WHO gave the Covid-19 naming. Most recent items are posted nearest the top.

    5 Recent Items: COVID-19

  • Biden expected to fall short on COVID-19 vaccine sharing goal
  • IN FULL: Victoria records zero local cases of COVID-19 | ABC News
  • Global National: June 21, 2021 | Canada loosens travel restrictions for fully vaccinated residents
  • IN FULL: Queensland records one new community case, set to reopen to Victoria | ABC News
  • Growing Concern Over Covid Delta Variant
  • Leave a Comment