Mobile application revenue is likely to expand by three folds to $ 15.1 billion this year, boosted by 18 billion downloads of the programs that run on a growing variety of smart phones and tablets from Apple Inc., Android and others, says a report by Gartner Inc.
“Many are wondering if the app frenzy we have been witnessing is just a fashion, and, like many others, it shall pass. We do not think so,” Stephanie Baghdassarian, a research director at Gartner said in a statement.
According to Gartner, although about 80% of app downloads are made for free, but over the next few years, users will begin paying for more of these as they come to trust the apps and associated payment methods.
In addition, advertising will account for almost a third of app revenue by 2014, up from 16% in 2010, the research firm added.