Android Market Revenue Skyrockets in 2010, Apple Still Dominates

Posted 02/15/2011 at 7:47am | by Paul Lilly

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According to new data by iSuppli, Google's Android Market partied like a rock star in 2010. Year-over-year revenue soared 861.5 percent to $102 million, up from $11 million in 2009, and had the highest growth rate of the top four mobile platforms. Impressive as that is, the Android Market has a long ways to go before it catches up to Apple's App Store, which once again raked in more pieces of eight than any other mobile platform.

Apple didn't exactly limp out of the gate in 2010, posting year-on-year growth of nearly 132 percent. Apple's app store collected $1.78 billion in 2010, compared to $769 million in 2009. The next closest competitor was BlackBerry's App World, which collected $165 million in revenue, up 360 percent from one year prior.

"In 2010, competitors managed to close the gap with Apple’s iPhone in terms of providing smart phone products with compelling user interfaces," said Jack Kent, analyst, mobile media, for IHS. "However, in terms of mobile application stores, Apple remains far ahead of the competition, with the other stores so far unable to replicate Apple’s success in generating revenue from users. Apple, in contrast, has been able to maintain advantage by leveraging its tightly controlled ecosystem — combining compelling hardware and content with the capability to offer consumers a trusted, integrated and simple billing service via iTunes."

The iPad also played a role in Apple's growth, and by 2014, iSuppli expects the iPad to generate half of Apple's App Store revenue.

As for Google, the Android Market has a shot at overtaking Nokia's Ovi Store in 2011, which collected $105 million on 719.4 percent growth in 2010.