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80% of developers say 70% revenue share is not enough

Categories: Research
By: , IntoMobile
Wednesday, May 12th, 2010 at 11:44 AM

It’s hard out there for a dev, what with 70% of every dollar your application makes coming back into your pocket. It used to be worse, a lot worse, with some operators taking 60% or more of the money collected via the sale of your application.

A recent survey completed by 400 North American developers finds that 80% are not satisfied with the 70/30 split the market has defaulted to. It’s a standard that Apple started, and Nokia is following it too via their Ovi Store, so is Google with the Android Market.

“Virtually all of the best known app stores have fallen in line directly with the 30/70 revenue split that Apple introduced, but there could be a big upside for any vendor bold enough to deviate,” — Janel Garvin, CEO of Evans Data. “If the app store is more a strategic asset than a revenue center, then providing the developer with a better revenue share model could go a long way toward promotion of that particular distribution channel and thus growth of market share for a technology.”

So who is going to be the first to give developers more, more, more? Is the Wholesale Applications Community, run by operators, going to try and steal Apple’s thunder by doing something crazy like 80/20 or even 90/10? Don’t think so. Operators have never once proved themselves to be innovative at anything. Is it going to be Apple themselves, pushing for better payouts, thus forcing everyone to catch up? Maybe.

Who’s got the balls to try something new?

About The Author

Stefan Constantinescu

Stefan Constantinescu (@WhatTheBit on Twitter) has loved technology since as far back as he can remember. It started with computers, but in the past few years his passion has turned to mobile devices. As a mobile phone enthusiast who lives and breathes devices that connect to the internet, he knows he is not alone with this radical fascination of all things wireless. He is strongly opinionated and enjoys a good debate so leave comments in his posts and he’ll get back to you! Stefan began blogging as a hobby in the fall of 2006 and joined IntoMobile in the summer of 2007. Later he got a job at Nokia in March 2008, but as of June 2009 he has rejoined the IntoMobile team. He is currently based out of Helsinki, Finland.

  • Alfie Dennen

    Well, to be entirely accurate, Docomo in Japan started that rev share model many years ago.