The Association for Competitive Technology (ACT), the world’s leading association for mobile app developers, will today release a new study showing that the app economy, including apps running on smartphones and tablets, has contributed nearly 800,000 jobs to the EU economy in just five years.
The app economy has exploded since the first app stores were launched in 2008. In addition to job creation, the study – sponsored by ACT, and conducted by Plum Consulting and Vision Mobile – found that across the EU the app economy represents more than €10bn in revenues and nearly one quarter of the global production of app-related products and services.
Speaking at a high-level policymaker and stakeholder event in Brussels to launch the study, Neelie Kroes, Vice President of the European Commission and Commissioner for the Digital Agenda said:
In a time of unemployment, the app economy gives me a lot of hope. The growth of apps made in Europe is an example of what happens when you create a borderless open economic environment. Now we need to bring that philosophy, and the jobs it enables, to other parts of the digital ecosystem. We now need better networks and a single market to support the further success of apps.
ACT President Jonathan Zuck said:
Our study demonstrates the enormous benefit that the app economy represents as an important engine of growth. Europe had zero app economy jobs before the iPhone was launched and now, after just five years, to have almost 800,000 people across Europe working in the app economy is a remarkable achievement. But the opportunity for future growth is far greater: Europe has established itself as an innovation leader so far, but the global app economy market is expected to nearly triple in size by 2016. To ensure Europe is able to expand its leadership in this rapidly-growing market, government action can make a real difference.
With low barriers to entry, app stores provide developers with global market access, discoverability, low cost distribution and monetisation. The results are a vibrant ecosystem fuelled by a combination of start-ups and more established entities competing on a level playing field to deliver a wide range of valuable and easily-accessible apps for European consumers.
The study outlines a number of areas where governments in Europe can make a difference and support the further growth of the app economy, including:
- facilitating access to government data for developers, eg mapping, meteorological and real-time public transport data as well as information on community-level services;
- enhancing connectivity by making more spectrum available for wireless services;
- advancing the European single market in intellectual property and communications;
- embracing app-driven innovation across all sectors, such as health, education, enterprise and lifestyle, and
- ensuring a flexible and supportive business environment for start-ups and entrepreneurs.
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Notes to editors
The full report can be found at: www.actonline.org/appeconomy/Europe
The Association for Competitive Technology (ACT) is an international grassroots advocacy and education organization representing more than 5,000 small and mid-size app developers and information technology firms. It is the only organization focused on the needs of small business innovators from around the world. ACT advocates for an environment that inspires and rewards innovation while providing resources to help its members leverage their intellectual assets to raise capital, create jobs, and continue innovating. In addition to its small business membership, ACT and ACT 4 Apps has several sponsors including Apple, AT&T, BlackBerry, eBay, Facebook, Intel, Microsoft, Oracle, PayPal, VeriSign, and Verizon. www.actonline.org
VisionMobile is the leading research company on the apps economy and mobile business models. Our research and workshops help clients compete and win in their rapidly changing industries.
VisionMobile is the leading authority on the apps economy. The firm’s semi-annual industry report series, “Developer Economics”, provides benchmarking of developer attitudes, trends and monetization by region. Developer Economics is now the largest, most global research on the apps economy, currently surveying over 6,000 mobile apps developers worldwide. VisionMobile’s research allows clients to benefit from an unprecedented depth of insights into developer economy trends and opportunities. www.visionmobile.com
About Plum Consulting
Plum is a global leader in the provision of policy, regulatory and strategy advice on radio spectrum, telecommunications and online services. Plum works for regulators, governments and private clients. http://www.plumconsulting.co.uk