A new mobile app report has predicted that by 2020, the app economy’s gross revenue will exceed $100bn worldwide.
App analytics company App Annie has just released its inaugural mobile app forecast report, using its knowledge of the industry to project the growth of the app economy over the next few years.
Last year, the app industry generated a huge $41.1bn in annual gross revenue, however the new report predicts a further 24% growth in 2016, taking total revenue up to $50.9bn.
Based on this continued expansion, App Annie also predicts that by 2020, the industry’s overall revenue will sit at $101bn.
The driving force behind this boost in downloads is expected to come from China, which is slated to surpass the US in terms of app revenue by the end of the year.
Other emerging markets like India, Indonesia and Brazil are also expected to expand substantially over the next four years.
The report also says that although all app stores will continue to evolve in the next four years, the iOS App Store is expected to remain the highest-grossing, with $44.8bn in revenue.
However, the App Annie report also predicts that Google Play and third-party Android stores will experience faster growth, increasing their combined revenue from $18.3bn in 2015, to $55.7bn in 2020.
Other categories, like entertainment and social, will also contribute to the economy’s growth, as App Annie forecasts downloads to rise from 65.7bn in 2015 to 182.1bn in 2020.
Over the next few years, the app industry is also expected to expand its presence to more devices, with many apps developing versions of their services to be compatible with wearables, TVs and cars.
Commenting on the future of the app market, App Annie said: “We are only in the early stages of the app market’s maturity cycle.
“Apps are set to become the most important interface between consumers and businesses as mobile consumes more of our time and as apps expand into new device platforms.
“Mobile apps have already dwarfed previous computing revolutions and we can look forward to even more growth ahead for the app economy.”
To download the full report, go here.