Friday, November 20, 2009

Android Marketplace - Why App Developers Aren't Seeing As Much Revenue

There was an article today about GameLoft saying they aren't getting enough revenue on the Android platform and deciding to leave it.

My thoughts on this topic:
I suspect Android is still mainly used by hackers/developers - who, like me, are cheapskates. Not by regular customers, who are more willing to pay for applications that entertain them. I expect Google to do more work in cleaning up the UI. Also, as more manufacturers start making Android devices, we will start seeing smartphone prices drop quite nicely, so Android will attract more regular users (who can't/won't spend big bucks on the iPhone).
That is when the platform will become more lucrative for most developers.

That said, I don't know that providing apps that reside just on the phone is ever likely to be profitable for more than a very, very small number of players - but that is a different post.