App Store (Apple)

Lore & Background

Originally, Apple CEO Steve Jobs did not intend to allow third-party native apps for the iPhone, directing developers to web apps instead. Backlash prompted a reversal, and the iOS SDK was released on March 6, 2008. Before the App Store's official launch, users could install third-party apps only through jailbreaking. The App Store opened on July 10, 2008, and the iPhone 3G, released the next day, came pre-loaded with support for it. Early successful apps included iBeer, which reportedly earned its creators $10,000 to $20,000 per day. In 2009, Apple added in-app purchases, which quickly became the dominant monetization method, especially for games. The Mac App Store launched in January 2011. In 2016, media outlets reported a decline in app popularity, citing consumer boredom and discoverability issues. Apple introduced search ads in October 2016 to improve discoverability, and in September 2017 the App Store received a major design overhaul with iOS 11, focusing on editorial content. In December 2017, Apple allowed developers to offer apps for pre-order. Apple Arcade, a subscription service for games, launched in September 2019. In March 2020, Apple made 'Sign in with Apple' mandatory for apps using third-party logins.

Reader's Guide

The App Store fundamentally changed how software is distributed and monetized on mobile devices, creating a new 'app economy' that Apple claims has paid over $320 billion to developers as of 2023. Its model of a curated marketplace with a 30% commission became the industry standard, but also drew sustained criticism. In October 2021, the Netherlands Authority for Consumers and Markets concluded that Apple's in-app commissions were anti-competitive. The store's influence extends beyond commerce: the term 'app store' became generic for similar services, and 'app' was named 2010's Word of the Year by the American Dialect Society. Despite a mid-2010s perception that the app boom was over, the store continued to evolve with search ads, editorial curation, and subscription services like Apple Arcade. Legal battles, notably with Epic Games, and regulatory scrutiny in the EU and US have highlighted ongoing tensions between Apple's control over its platform and developer demands for more openness. The App Store remains a critical gateway for software on Apple devices, shaping both user experience and developer economics.

Did You Know?

• The App Store opened on July 10, 2008, with only 500 applications available.
• Before the App Store, users could install third-party apps only after jailbreaking their device.
• In October 2021, the Netherlands Authority for Consumers and Markets ruled that Apple's in-app commissions were anti-competitive.
• The term 'app' was named 2010's Word of the Year by the American Dialect Society.