App Store revenue suffers its biggest drop in the last five years

App Store Awards 2021

Apple's app store is getting unexpected prominence lately. Between the announcement that in Europe the prices of applications as well as subscriptions will be increased by the company to developers, and that it is always the subject of controversy due to the price that is charged fixed compensation, we are often talking about what that surrounds her. Right now, we can put a little into context why Apple might want to raise prices and that is revenues have declined after 7 years. 

Whenever we talk about Apple we have analysts on all sides. If Apple releases its earnings report, we have an extended analysis of why, how and when those numbers came out on the same day. The App Store was not going to be less and the specialized analyst Sensor Tower informs us that in the month of September, the income in the App Store fell by 5% year-on-year and gaming revenue decreased 14%. There have been falls in the markets of the United States, Canada and Japan

Of this data, Morgan Stanley has stated that this represents the largest drop observed since it began extensive monitoring, in 2015. The analysis explains that this drop It is mainly due to two factors:

  1.  La strong demand for home entertainment during the pandemic
  2.  sanctions against Russia, and related gas supply disruptions, have caused energy prices to rise sharply around the world

Due to the price increase in the App Store which has been mentioned above, losses are likely to be even greater, in Europe and other parts of the world. This will drive up the cost of both app sales and in-app purchases by a total 20% increase in prices as Apple hedges its revenue against rising currencies.

This does not mean that there are losses, but deceleration. I mean, Apple is still making money, but not that much.


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