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A Progressive Digital Media business

MarketLine Industry Profile

Mobile Apps in the


United States
February 2016

Reference Code: 0072-2809

Publication Date: February 2016

WWW.MARKETLINE.COM
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EXECUTIVE SUMMARY
Market value
The United States mobile apps market grew by 17% in 2015 to reach a value of $87.8 billion.

Market value forecast


In 2020, the United States mobile apps market is forecast to have a value of $131.5 billion, an increase of 49.8% since
2015.

Market volume
The United States mobile apps market grew by 16.7% in 2015 to reach a volume of 709.8 million subscriptions.

Market volume forecast


In 2020, the United States mobile apps market is forecast to have a volume of 1,169.5 million subscriptions, an increase
of 64.8% since 2015.

Category segmentation
Browsing/wap is the largest segment of the mobile apps market in the United States, accounting for 71.6% of the
market's total value.

Geography segmentation
The United States accounts for 26.2% of the global mobile apps market value.

Market rivalry
The development and fast adoption of smartphone technology has given rise to a rapidly growing market in mobile
applications, which eases player rivalry to a certain extent. Although the ease of distribution and expansion for smaller
new entrants with creative ideas is good, the fact that the market is fairly concentrated, with a small number of large and
acquisitive multinational companies dominating each segment, increases rivalry.

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TABLE OF CONTENTS
Executive Summary ....................................................................................................................................................... 2

Market value............................................................................................................................................................... 2

Market value forecast ................................................................................................................................................. 2

Market volume............................................................................................................................................................ 2

Market volume forecast .............................................................................................................................................. 2

Category segmentation .............................................................................................................................................. 2

Geography segmentation ........................................................................................................................................... 2

Market rivalry.............................................................................................................................................................. 2

Market Overview ............................................................................................................................................................ 7

Market definition ......................................................................................................................................................... 7

Market analysis .......................................................................................................................................................... 7

Market Data ................................................................................................................................................................... 8

Market value............................................................................................................................................................... 8

Market volume............................................................................................................................................................ 9

Market Segmentation ................................................................................................................................................... 10

Category segmentation ............................................................................................................................................ 10

Geography segmentation ......................................................................................................................................... 11

Market Outlook ............................................................................................................................................................. 12

Market value forecast ............................................................................................................................................... 12

Market volume forecast ............................................................................................................................................ 13

Five Forces Analysis .................................................................................................................................................... 14

Summary .................................................................................................................................................................. 14

Buyer power ............................................................................................................................................................. 15

Supplier power ......................................................................................................................................................... 16

New entrants ............................................................................................................................................................ 17

Threat of substitutes................................................................................................................................................. 18

Degree of rivalry ....................................................................................................................................................... 19

Leading Companies ..................................................................................................................................................... 20

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Apple Inc. ................................................................................................................................................................. 20

Electronic Arts Inc. ................................................................................................................................................... 25

Facebook, Inc........................................................................................................................................................... 28

Alphabet Inc. ............................................................................................................................................................ 30

Macroeconomic Indicators ........................................................................................................................................... 34

Country Data ............................................................................................................................................................ 34

Methodology................................................................................................................................................................. 36

Industry associations ................................................................................................................................................ 37

Related MarketLine research ................................................................................................................................... 37

Appendix ...................................................................................................................................................................... 38

About MarketLine ..................................................................................................................................................... 38

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LIST OF TABLES
Table 1: United States mobile apps market value: $ billion, 201115(e)........................................................................ 8

Table 2: United States mobile apps market volume: million subscriptions, 201115(e) ................................................. 9

Table 3: United States mobile apps market category segmentation: $ billion, 2015(e) ................................................ 10

Table 4: United States mobile apps market geography segmentation: $ billion, 2015(e) ............................................. 11

Table 5: United States mobile apps market value forecast: $ billion, 201520 ............................................................ 12

Table 6: United States mobile apps market volume forecast: million subscriptions, 201520 ..................................... 13

Table 7: Apple Inc.: key facts ....................................................................................................................................... 20

Table 8: Apple Inc.: key financials ($) .......................................................................................................................... 23

Table 9: Apple Inc.: key financial ratios ........................................................................................................................ 23

Table 10: Electronic Arts Inc.: key facts ....................................................................................................................... 25

Table 11: Electronic Arts Inc.: key financials ($)........................................................................................................... 26

Table 12: Electronic Arts Inc.: key financial ratios ........................................................................................................ 26

Table 13: Facebook, Inc.: key facts.............................................................................................................................. 28

Table 14: Alphabet Inc.: key facts ................................................................................................................................ 30

Table 15: Alphabet Inc.: key financials ($) ................................................................................................................... 32

Table 16: Alphabet Inc.: key financial ratios ................................................................................................................. 32

Table 17: United States size of population (million), 201115 ..................................................................................... 34

Table 18: United States gdp (constant 2005 prices, $ billion), 201115 ...................................................................... 34

Table 19: United States gdp (current prices, $ billion), 201115 .................................................................................. 34

Table 20: United States inflation, 201115 .................................................................................................................. 35

Table 21: United States consumer price index (absolute), 201115 ............................................................................ 35

Table 22: United States exchange rate, 201115 ........................................................................................................ 35

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LIST OF FIGURES
Figure 1: United States mobile apps market value: $ billion, 201115(e) ...................................................................... 8

Figure 2: United States mobile apps market volume: million subscriptions, 201115(e)................................................ 9

Figure 3: United States mobile apps market category segmentation: % share, by value, 2015(e) .............................. 10

Figure 4: United States mobile apps market geography segmentation: % share, by value, 2015(e) ........................... 11

Figure 5: United States mobile apps market value forecast: $ billion, 201520 ........................................................... 12

Figure 6: United States mobile apps market volume forecast: million subscriptions, 201520 .................................... 13

Figure 7: Forces driving competition in the mobile apps market in the United States, 2015 ........................................ 14

Figure 8: Drivers of buyer power in the mobile apps market in the United States, 2015 .............................................. 15

Figure 9: Drivers of supplier power in the mobile apps market in the United States, 2015 .......................................... 16

Figure 10: Factors influencing the likelihood of new entrants in the mobile apps market in the United States, 2015 ... 17

Figure 11: Factors influencing the threat of substitutes in the mobile apps market in the United States, 2015 ............ 18

Figure 12: Drivers of degree of rivalry in the mobile apps market in the United States, 2015 ...................................... 19

Figure 13: Apple Inc.: revenues & profitability .............................................................................................................. 23

Figure 14: Apple Inc.: assets & liabilities ...................................................................................................................... 24

Figure 15: Electronic Arts Inc.: revenues & profitability ................................................................................................ 26

Figure 16: Electronic Arts Inc.: assets & liabilities ........................................................................................................ 27

Figure 17: Alphabet Inc.: revenues & profitability ......................................................................................................... 32

Figure 18: Alphabet Inc.: assets & liabilities ................................................................................................................. 33

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MARKET OVERVIEW
Market definition
The mobile applications market is valued using a bottom-up approach that takes into consideration the average number
of subscribers of a particular application and the average revenue per subscription in each year. Volumes represent the
average number of subscriptions of all mobile applications - individuals can therefore be double-counted if they have
more than one subscription. The market is segmented into ringtones, graphics/images, games, browsing/WAP, video,
music and other mobile applications (data cards/modems). Any currency conversions have been carried out using
constant annual average 2014 exchange rates.

For the purposes of this report, North America consists of Canada, Mexico, and the United States.

South America comprises Argentina, Brazil, Chile, Colombia, and Venezuela.

Europe comprises Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Greece, Ireland, Italy,
Netherlands, Norway, Poland, Portugal, Russia, Spain, Sweden, Switzerland, Turkey, and the United Kingdom.

Scandinavia comprises Denmark, Finland, Norway, and Sweden.

Asia-Pacific comprises Australia, China, Hong Kong, India, Indonesia, Kazakhstan, Japan, Malaysia, New Zealand,
Pakistan, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam.

Middle East comprises Egypt, Israel, Saudi Arabia, and United Arab Emirates.

Market analysis
The US mobile apps market has experienced extremely strong growth in terms of both value and volume in recent years.
Although the market is expected to decelerate in the coming years, very strong growth is still forecast to 2020.

The fast adoption of smartphone technology combined with the accessible nature of iOS and Android operating systems
in terms of mobile application development has driven forward the number of mobile applications on the market and
therefore increased subscription volumes. Whilst many companies have found it difficult to develop revenue streams as
fast as they have developed user-bases, businesses are now operating through a number of different income systems
and the value of the market is expected to increase. Smartphone sales accounted for 93% (making 159.7 million handset
shipments to end-users) of the US mobile phone market in 2014, confirming the importance of the mobile application
market.

The US mobile apps market had total revenues of $87.8bn in 2015, representing a compound annual growth rate
(CAGR) of 24.9% between 2011 and 2015. In comparison, the European and Asia-Pacific markets grew with CAGRs of
9.9% and 17.1% respectively, over the same period, to reach respective values of $64.2bn and $149.5bn in 2015.

Market consumption volume increased with a CAGR of 20.4% between 2011 and 2015, to reach a total of 709.8 million
subscriptions in 2015. The market's volume is expected to rise to 1,169.5 million subscriptions by the end of 2020,
representing a CAGR of 10.5% for the 2015-2020 period.

The browsing/WAP segment was the market's most lucrative in 2015, with total revenues of $62.9bn, equivalent to
71.6% of the market's overall value. The video segment contributed revenues of $1.9bn in 2015, equating to 2.2% of the
market's aggregate value.

The performance of the market is forecast to decelerate, with an anticipated CAGR of 8.4% for the five-year period 2015
- 2020, which is expected to drive the market to a value of $131.5bn by the end of 2020. Comparatively, the European
and Asia-Pacific markets will grow with CAGRs of 9.1% and 12.7% respectively, over the same period, to reach
respective values of $99.2bn and $272.3bn in 2020.

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MARKET DATA
Market value
The United States mobile apps market grew by 17% in 2015 to reach a value of $87.8 billion.

The compound annual growth rate of the market in the period 201115 was 24.9%.

Table 1: United States mobile apps market value: $ billion, 201115(e)

Year $ billion billion % Growth


2011 36.1 27.2
2012 49.8 37.5 37.9
2013 63.6 47.8 27.7
2014 75.1 56.5 18.1
2015(e) 87.8 66.1 17.0

CAGR: 201115 24.9%

SOURCE: MARKETLINE MARKETLINE

Figure 1: United States mobile apps market value: $ billion, 201115(e)

SOURCE: MARKETLINE MARKETLINE

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Market volume
The United States mobile apps market grew by 16.7% in 2015 to reach a volume of 709.8 million subscriptions.

The compound annual growth rate of the market in the period 201115 was 20.4%.

Table 2: United States mobile apps market volume: million subscriptions, 201115(e)

Year million subscriptions % Growth


2011 337.7
2012 419.1 24.1
2013 509.0 21.5
2014 608.3 19.5
2015(e) 709.8 16.7

CAGR: 201115 20.4%

SOURCE: MARKETLINE MARKETLINE

Figure 2: United States mobile apps market volume: million subscriptions, 201115(e)

SOURCE: MARKETLINE MARKETLINE

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MARKET SEGMENTATION
Category segmentation
Browsing/wap is the largest segment of the mobile apps market in the United States, accounting for 71.6% of the
market's total value.

The Video segment accounts for a further 2.2% of the market.

Table 3: United States mobile apps market category segmentation: $ billion, 2015(e)

Category 2015 %
Browsing/WAP 62.9 71.6%
Video 1.9 2.2%
Music 1.6 1.8%
Games 1.2 1.3%
Ringtones 0.6 0.7%
Graphics/Images 0.1 0.1%
Other 19.6 22.3%

Total 87.9 100%

SOURCE: MARKETLINE MARKETLINE

Figure 3: United States mobile apps market category segmentation: % share, by value, 2015(e)

SOURCE: MARKETLINE MARKETLINE

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Geography segmentation
The United States accounts for 26.2% of the global mobile apps market value.

Asia-Pacific accounts for a further 44.6% of the global market.

Table 4: United States mobile apps market geography segmentation: $ billion, 2015(e)

Geography 2015 %
Asia-Pacific 149.5 44.6
United States 87.8 26.2
Europe 64.2 19.1
Rest of the World 33.7 10.1

Total 335.2 100%

SOURCE: MARKETLINE MARKETLINE

Figure 4: United States mobile apps market geography segmentation: % share, by value, 2015(e)

SOURCE: MARKETLINE MARKETLINE

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MARKET OUTLOOK
Market value forecast
In 2020, the United States mobile apps market is forecast to have a value of $131.5 billion, an increase of 49.8% since
2015.

The compound annual growth rate of the market in the period 201520 is predicted to be 8.4%.

Table 5: United States mobile apps market value forecast: $ billion, 201520

Year $ billion billion % Growth


2015 87.8 66.1 17.0%
2016 98.6 74.2 12.3%
2017 108.0 81.3 9.6%
2018 116.1 87.3 7.5%
2019 123.6 93.0 6.5%
2020 131.5 99.0 6.4%

CAGR: 201520 8.4%

SOURCE: MARKETLINE MARKETLINE

Figure 5: United States mobile apps market value forecast: $ billion, 201520

SOURCE: MARKETLINE MARKETLINE

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Market volume forecast
In 2020, the United States mobile apps market is forecast to have a volume of 1,169.5 million subscriptions, an increase
of 64.8% since 2015.

The compound annual growth rate of the market in the period 201520 is predicted to be 10.5%.

Table 6: United States mobile apps market volume forecast: million subscriptions, 201520

Year million subscriptions % Growth


2015 709.8 16.7%
2016 809.2 14.0%
2017 904.8 11.8%
2018 995.1 10.0%
2019 1,080.7 8.6%
2020 1,169.5 8.2%

CAGR: 201520 10.5%

SOURCE: MARKETLINE MARKETLINE

Figure 6: United States mobile apps market volume forecast: million subscriptions, 201520

SOURCE: MARKETLINE MARKETLINE

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FIVE FORCES ANALYSIS
The mobile apps market will be analyzed taking mobile application development companies as players. The key buyers
will be taken as individual consumers and advertisers, and software and it hardware companies as the key suppliers.

Summary
Figure 7: Forces driving competition in the mobile apps market in the United States, 2015

SOURCE: MARKETLINE MARKETLINE

The development and fast adoption of smartphone technology has given rise to a rapidly growing market in mobile
applications, which eases player rivalry to a certain extent. Although the ease of distribution and expansion for smaller
new entrants with creative ideas is good, the fact that the market is fairly concentrated, with a small number of large and
acquisitive multinational companies dominating each segment, increases rivalry.

To date, the market has been led by applications that revolve around the leisure industry with game, music, video, social
media and other download, streaming or communication services being particularly popular.

Buyers range from individual consumers, which have limited financial muscle on their own, to businesses paying for
advertising, which can exert some power. Individual consumers have caused difficulties en-masse for players due to the
prevalence of illegal downloads and the popularity of free services with very low switching costs historically.

Suppliers to the market include content producers and license holders as well as software developers, IT hardware
producers and technical staff. For social media applications, the competitive landscape is often switched on its head with
users or subscribers being the key suppliers (of personal information).

Substitutes include other forms of entertainment, illegal downloads, traditional video viewing, telephone communication
and software use as well as physical products such as CDs, printed books and more powerful games consoles. Given
the wealth of information and content available on the internet and the speed at which it can be accessed, a truly
comparable substitute for online browsing does not really exist.

A key area of rivalry within the market is between players and certain suppliers, with the former leveraging the number of
users they have and the latter restricting the use of their material, predominately in the video and music markets. Rivalry
is intensified by the ease of digital expansion, constant advances in technology and as players compete over consumers
who are increasingly aware of price and stock.

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Buyer power
Figure 8: Drivers of buyer power in the mobile apps market in the United States, 2015

SOURCE: MARKETLINE MARKETLINE

Buyer power is increased by buyers' willingness and ability to switch to whichever application offers the best price, as
monetary switching costs are negligible. In addition, buyers generally have the time to shop around for the best deal, as
well as assess the perceived worth of alternatives through the use of online reviews.

Players are attempting to increase switching costs for buyers through the integration of digital services across mobile,
tablet and desktop platforms, the development of large content catalogs, competitive pricing and increasing legal action
against illegal downloads. For social networking applications, such as Facebook, players have increased switching costs
by pulling as many users together into the same platform and preventing multi-platform communication such that users
are reluctant to switch to platforms that fewer people are using.

Having said that, overall brand loyalty is relatively weak due to a lack of product differentiation, thus increasing buyer
power.

Buyers within the mobile application market are typically individual consumers, meaning they are small and plentiful with
little financial muscle, weakening buyer power. Businesses that purchase advertising space on mobile applications have
greater financial muscle but players are able to leverage the size of their user base to make mobile advertising an
essential part of most businesss marketing mix.

The majority of mobile applications, except professional or academic applications, cannot be classified as essential
items, and as such may be considered a luxury; buyer power is strengthened by this low importance.

Final consumers are very unlikely to backwards integrate into the business of players although open source software
development has democratized the creation of mobile applications somewhat, such that individuals can develop their
own applications if they so wish. Advertising customers are also unlikely to backwards integrate due to the majority of
customers being businesses in completely different arenas.

Recent trends have seen an increase in bonus downloadable content and in-app purchases to encourage buyers to raise
their level of spending in order to obtain the full experience offered by any given application, thus decreasing buyer
power.

Overall, buyer power is moderate.

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Supplier power
Figure 9: Drivers of supplier power in the mobile apps market in the United States, 2015

SOURCE: MARKETLINE MARKETLINE

In this market, there are some companies present with vertical integration from production through to distribution. One
example is The Walt Disney Company, which produces motion pictures (including through its Marvel, Pixar and Lucas
film brands), as well as being a part-owner of the online streaming service, Hulu, which offers a mobile application
service. Equally, record labels have become increasingly involved with music streaming services. Such integration may
eventually fall foul of anti-trust laws but in the meantime, such forward integration significantly increases supplier power
in certain segments. Furthermore, music artists themselves have waded into the streaming market in response to
supposed underpayment of existing streaming applications, such as Spotify: Jay Z acquired Scandinavian streaming
company Aspiro AB in 2015 for $56m through an investment vehicle and relaunched the company's Tidal music
streaming service in March 2015, which he promised would offer creators of the music streamed through the service
75% royalty rights.

Mobile application development also requires employees with specific and adaptable know-how, as well as the most up-
to-date hardware devices. Skilled programmers are the key to success in this market, forcing players to rely on the
continued service of highly qualified and usually well-paid employees.

Inputs such as hardware components are often purchased from sole suppliers; these tend to be large companies offering
differentiated products, resulting in significant supplier power. Since mobile applications are wholly designed on
computer hardware, this makes these suppliers an irreplaceable part of the market which, combined with the diverse
customers that suppliers have and the importance of quality to the industry, increases supplier power.

For some applications, particularly those involved in browsing, social media and communication, a slightly odd switch in
the competitive landscape has taken place in which it is the users and subscribers themselves that have become the
suppliers - of freely provided personal information - to be sold to business buyers and advertisers. Suppliers in this case
are small and plentiful with little power individually; collectively there have been threats of a backlash against companies
such as Facebook using personal information but little has really changed, showing the weakness of these suppliers.

Overall, supplier power is moderate.

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New entrants
Figure 10: Factors influencing the likelihood of new entrants in the mobile apps market in the
United States, 2015

SOURCE: MARKETLINE MARKETLINE

The market is relatively concentrated in the popular genres of digital entertainment, with Google (through YouTube,
Google Play and the Google search engine), Apple (iTunes, iBook store and Beats Music) and Facebook (Facebook and
WhatsApp). Whilst some companies, such as Snapchat, have made in-roads into the social media space, competing on
a small scale has been difficult in this arena with smaller players finding much greater success in the games segment.
The ease of development and online distribution on both Apple and Android operating systems means that a small game
developer or even an individual programmer with a great concept can achieve rapid success.

In this market, low-cost switching facilitates the fact that buyers are prone to switch between players, which helps new
entrants to some extent. Buyers may experience a certain degree of loyalty to some entertainment applications if they
have a history of maintaining a catalogue of popular and successful films, music or books. However, this brand loyalty is
limited, and customers are unlikely to register for multiple subscriptions, meaning new entrants have the opportunity to
make absolute gains against incumbent players.

Access to online distribution is also important to newcomers. The World Economic Forum ranks the US seventh out of
143 countries in terms of network readiness, which suggests that the market is well developed in terms of IT
infrastructure and able to continue with the expansion of mobile applications. Mobile application development is labor
intensive, since ultimately it depends on highly skilled programmers, literate in mathematics and the constantly evolving
area of computer science. Skilled employees and contemporary computer hardware are both key inputs, although low
capital requirements mean that market entry is eased in terms of hardware and a widening labor market means good
access to skilled programmers.

In a market where new products, and new kinds of products, are frequently launched, R&D investment is important.
Alternatively, a large company can obtain intellectual property or widen its user base through acquisition of the company
that originally generated it (such as Facebooks acquisition of WhatsApp). However, either approach requires significant
funds and may put-off new entrants.

Whilst strong market growth has increased the threat of new entrants, overall the threat is assessed as moderate.

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Threat of substitutes
Figure 11: Factors influencing the threat of substitutes in the mobile apps market in the United
States, 2015

SOURCE: MARKETLINE MARKETLINE

Mobile distribution has been a disruptive force in the online market as a whole, acting as the new and growing alternative
to traditional computer based substitutes. Many new companies have focused their attention on being mobile-first
businesses, and firms that began on PC platforms have been forced to develop equivalent mobile applications in order to
maintain their customer or supplier base.

Mobile applications sold primarily as a leisure product have indirect competition from other cultural and recreational
goods and services: sports goods, console gaming, networking, learning, museums and so on. The availability of vast
amounts of free online content in the form of blogs, news, and entertainment present a similar form of indirect
competition. Their advantages and disadvantages are not easy to determine, since they depend on the tastes of
individual consumers.

Digital distribution can also be carried out illegally which can significantly affect player revenues. For example,
consumers can illegally obtain music quite easily, though it can often be of poor quality.

Open culture also acts as a substitute to paid-for or advertising backed mobile applications. Project Gutenberg for
example has a vast catalogue of free e-books available to download. Free streaming services also continually pop up as
newly dominant players begin to start using adverts and paid subscription models. Given that many of these services
manage to stay within the bounds of copyright law and offer similar content at no cost, they are a substantial threat to
traditional download revenue models.

Overall the threat of substitutes is considered to be moderate.

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Degree of rivalry
Figure 12: Drivers of degree of rivalry in the mobile apps market in the United States, 2015

SOURCE: MARKETLINE MARKETLINE

A number of the large players are media conglomerates, operating in a diverse range of markets spanning movies,
electronics, music, Internet, and television. One example is Apple Inc, which also manufactures digital and electronic
products. Googles reorganization into Alphabet Inc also indicates that the company intends to diversify widely.
Diversification, which helps to defend revenues from decline in a particular segment, tends to decrease rivalry, whereas
the large size of major players increases competition.

Once a mobile application is made available, it is relatively easy to expand sales due to the weightless nature of the
product; it can simply be sold as a digital download in many countries, for example. It is therefore easy to deliver more of
the product if demand rises. Buyers are also able to switch between players easily, as switching costs are low. These
two factors intensify rivalry.

The market is relatively easy to exit as it does not deal with any physical product. This helps to decrease rivalry as
companies will not find themselves with non-transferable fixed assets. This also means that companies do not have to
deal with any high storage costs.

Advances in technology mean that products are continually being introduced to the market, enhancing rivalry and
allowing new entrants the possibility of gaining market share.

An expanding market allows mobile application companies to grow their own revenue without having such a negative
impact on competitors' market share, thereby easing rivalry; although this depends on the particular specialization of
each application company. The degree of rivalry is assessed as moderate overall.

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LEADING COMPANIES
Apple Inc.
Table 7: Apple Inc.: key facts

Head office: 1 Infinite Loop, Cupertino, California 95014, USA


Telephone: 1 408 996 1010
Website: www.apple.com
Financial year-end: September
Ticker: AAPL
Stock exchange: NASDAQ

SOURCE: COMPANY WEBSITE MARKETLINE

Apple Inc. (Apple or the company) is a technology company that offers personal communication devices and related
software and solutions. The company's products and services include iPhone; iPad; Mac; iPod; Apple TV; a portfolio of
consumer and professional software applications; the iOS and OS X operating systems; iCloud ; and a variety of
accessory, service and support offerings. The company also sells and delivers digital content and applications through
the iTunes Store, App Store, iBooks Store, and Mac App Store. Apple sells its products worldwide through its retail
stores, online stores, and direct sales force, as well as through third-party cellular network carriers, wholesalers, retailers
and value-added resellers. In addition, the company sells a variety of third-party products that are compatible with
iPhone, iPad, Mac and iPod, including application software, and various accessories, through its online and retail stores.
Apple sells its products to consumers; small and mid-sized businesses (SMB); and education, enterprise and
government customers. The company has operations in Americas, Europe, and Asia Pacific.

The company manages its business primarily on a geographic basis: the Americas, Europe, Japan, Greater China, rest
of Asia Pacific and retail operations. Each operating segment provides similar hardware and software products and
similar services. The Americas segment includes both North and South America. The Europe segment includes
European countries, as well as India, the Middle East and Africa. The Greater China segment includes China, Hong
Kong and Taiwan. The rest of Asia Pacific segment includes Australia and Asian countries, other than those countries
included in the company's other operating segments. The retail segment operates Apple retail stores in various
countries, including the US.

Apple offers products, operating system software, application software, and accessories.

The company's products include iPhone; iPad; Mac; iPod; iTunes and the iTunes Store; Mac App Store; iCloud; and
Apple Pay.

iPhone is the company's line of smartphones that combine a phone, music player, and internet device in one product,
and is based on Apple's iOS Multi-Touch operating system. iPhone has an integrated photo and video camera and photo
library app, and on qualifying devices, also includes Siri, a voice activated intelligent assistant. iPhone uses Apple's
iTunes Store, App Store and iBooks Store to purchase and organize music, movies, television (TV) shows, podcasts,
books, and apps. Apple's iPhone is compatible with both Mac and Windows personal computers (PCs) and Apple's
iCloud services which provide synchronization of mail, contacts, calendars, apps, music, photos, documents, and more
across users' devices.

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iPad is the company's line of multi-purpose tablets based on Apple's iOS Multi-Touch operating system, which includes
iPad Air and iPad mini. iPad has an integrated photo and video camera and photo library app, and on qualifying devices,
also includes Siri. iPad works with the iTunes Store, the iBooks Store and the App Store for purchasing, organizing and
playing music, movies, TV shows, podcasts, books and apps. iPad is compatible with both Mac and Windows PCs and
Apple's iCloud services.

Mac is the company's line of desktop and portable PCs. Macs feature Intel microprocessors, the OS X operating system
and include mail, Safari web browser, messages, calendars, reminders, contacts and the iLife apps. The company's
desktop computers include iMac, Mac Pro and Mac mini. Its portable computers include MacBook Pro and MacBook Air.

The company's iPod line of portable digital music and media players includes iPod touch, iPod nano, iPod shuffle and
iPod classic. iPods work with iTunes to purchase and synchronize content. iPod touch, based on the company's iOS
Multi-Touch operating system, is a flash memory- based iPod with an integrated photo and video camera and photo
library app, and also includes Siri. iPod touch is compatible with both Mac and Windows PCs and Apple's iCloud
services.

Apple's iTunes app, available for iOS devices, Mac and Windows PCs and Apple TV, keeps users' music, movies, and
TV shows organized in one place. iTunes is integrated with the iTunes Store, the App Store, the iBooks Store, iTunes U
and iTunes Radio. The iTunes Store allows users to purchase and download music and TV shows, rent or purchase
movies and download free Podcasts. The App Store allows customers to discover and download apps and purchase in-
app content. The iBooks Store features e-books from major and independent publishers. iTunes U allows users to
download free lectures, videos, and more from top universities, museums, and other institutions. iTunes Radio provides
a free internet streaming service that allows users to personalize radio stations featuring music from the iTunes Store.
The company also owns Beats Music, which offers a subscription streaming music service that offers a curated listening
experience and complements the company's other music services and offerings.

The Mac App Store allows customers to discover, download and install Mac apps. The Mac App Store offers applications
in education, games, graphics and design, lifestyle, productivity, utilities and other categories. iCloud is the company's
cloud service, which stores music, photos, applications, contacts, calendars, documents and more, and is made
available to multiple iOS devices and Mac and Windows PCs and Apple TV. iCloud's services include iTunes in the
cloud; iCloud Drive; iCloud Photo Sharing; Family Sharing; Find My iPhone; and iPad or Mac and iCloud Backup for iOS
devices. Apple Pay is a service aimed at making mobile payments easy, secure and private.

Apple's operating system software includes iOS and OS X. iOS is the company's Multi-Touch operating system that
serves as the foundation for iOS devices. Apps delivered with iOS for qualifying devices include Safari web browser,
FaceTime video calling, maps, mail, contacts, calendar, clock, weather, calculator, notes, reminders, stocks, compass
and messages. Its other features include predictive typing for Apple's QuickType keyboard, a Health app, and Family
Sharing, which allows easier sharing of purchases, photos and calendars within the same household. Devices running
iOS are compatible with both Mac and Windows PCs and Apple's iCloud services.

OS X, the company's Mac operating system, is built on an open-source UNIX-based foundation and provides an intuitive
and integrated computer experience. OS X Yosemite is the latest version of OS X. Support for iCloud is built into OS X
so users can access content and information from their other Macs, their iOS devices and other supported devices and
access downloaded content and apps from the iTunes Store. Apps delivered with OS X include mail, Safari web browser,
messages, calendar, reminders, contacts, maps, iBooks and the iLife apps. OS X Yosemite incorporates additional
continuity features including Handoff, which allows users to start an activity on one Mac or iOS device and pass it to
another Mac or iOS device.

Apple's application software includes iLife, iWork, and other application software.

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iLife for Mac is the company's consumer-oriented digital lifestyle software application suite included with all Mac
computers. iLife features iPhoto, a digital photo application for storing, viewing, editing and sharing photos; iMovie, a
digital video editing application; and GarageBand, a music creation application that allows customers to play, record and
create music. iWork for Mac is the company's integrated productivity suite designed to help users create, present, and
publish documents, presentations, and spreadsheets. iWork includes Pages for word processing and page layout,
Keynote for presentations, and Numbers for spreadsheets. Apple's other application software includes Final Cut Pro,
Logic Pro X and FileMaker Pro database software.

The company sells a variety of Apple-branded and third-party Mac-compatible and iOS-compatible accessories,
including Apple TV, headphones, cases, displays, storage devices and various other connectivity and computing
products and supplies. It also offers headphones, speakers and audio software under the brand name of Beats.

Apple TV connects to consumers' high definition (HD) TVs and enables them to access iTunes content directly for
streaming HD video, playing music and viewing photos. Content from iTunes Radio, Beats Music and other media
services, including Netflix, YouTube, Flickr, Hulu Plus, Vevo, Major League Baseball (MLB), National Basketball
Association (NBA) and National Hockey League (NHL) is available on Apple TV. Apple TV allows streaming iTunes
content from Macs and Windows PCs through Home Share and through AirPlay from compatible Mac and iOS devices.

Apple Watch is a personal electronic device that combines a watch technology with an iOS-based user interface created
specifically for a smaller device. Apple Watch features Digital Crown, a navigation tool that allows users to scroll, zoom
and navigate. Apple Watch enables customers to communicate in new ways from their wrist and features Force Touch, a
technology that senses the difference between a tap and a press and allows users to access controls within apps.

Apple also offers products support and services under the brand name of AppleCare, which includes a range of support
options for the company's customers. These include assistance that is built into software products, printed and electronic
product manuals, online support including comprehensive product information as well as technical assistance, the
AppleCare Protection Plan (APP) and the AppleCare+ Protection Plan (AC+). APP is a fee-based service that typically
includes two to three years of phone support, hardware repairs and dedicated web-based support resources. AC+ is a
fee-based service available in certain countries for iPhone and iPad. AC+ offers additional coverage under some
circumstances for instances of accidental damage in addition to the services offered by APP.

In addition to the above offerings, the company offers iOS and Mac Developer Programs to support app developers with
the development, testing and distribution of iOS and Mac apps through the App Store and the Mac App Store.
Development tools included with the company's Developer Programs include Xcode, the company's integrated
development environment for creating apps for iOS devices and Mac.

In December 2014, Apple and IBM delivered the first wave of IBM MobileFirst for iOS solutions in a new class of made-
for-business apps and supporting cloud services that bring IBM's big data and analytics capabilities to iPhone and iPad
users in the enterprise. In the same month, Apple's models of iPad Air 2 and iPad mini 3 with cellular networking were
made available in China.

Key Metrics
The company recorded revenues of $233,715 million in the fiscal year ending September 2015, an increase of 27.9%
compared to fiscal 2014. Its net income was $53,394 million in fiscal 2015, compared to a net income of $39,510 million
in the preceding year.

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Table 8: Apple Inc.: key financials ($)

$ million 2011 2012 2013 2014 2015


Revenues 108,249.0 156,508.0 170,910.0 182,795.0 233,715.0
Net income (loss) 25,922.0 41,733.0 37,037.0 39,510.0 53,394.0
Total assets 116,371.0 176,064.0 207,000.0 231,839.0 290,479.0
Total liabilities 39,756.0 57,854.0 83,451.0 120,292.0 171,124.0
Employees 60,400 72,800 80,300 92,600 110,000

SOURCE: COMPANY FILINGS MARKETLINE

Table 9: Apple Inc.: key financial ratios

Ratio 2011 2012 2013 2014 2015


Profit margin 23.9% 26.7% 21.7% 21.6% 22.8%
Revenue growth 66.0% 44.6% 9.2% 7.0% 27.9%
Asset growth 54.8% 51.3% 17.6% 12.0% 25.3%
Liabilities growth 45.1% 45.5% 44.2% 44.1% 42.3%
Debt/asset ratio 34.2% 32.9% 40.3% 51.9% 58.9%
Return on assets 27.1% 28.5% 19.3% 18.0% 20.4%
Revenue per employee $1,792,202 $2,149,835 $2,128,394 $1,974,028 $2,124,682
Profit per employee $429,172 $573,255 $461,233 $426,674 $485,400

SOURCE: COMPANY FILINGS MARKETLINE

Figure 13: Apple Inc.: revenues & profitability

SOURCE: COMPANY FILINGS MARKETLINE

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Figure 14: Apple Inc.: assets & liabilities

SOURCE: COMPANY FILINGS MARKETLINE

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Electronic Arts Inc.
Table 10: Electronic Arts Inc.: key facts

Head office: 209 Redwood Shores Parkway, Redwood City, California 94065, USA
Telephone: 1 650 628 1500
Website: www.ea.com
Financial year-end: March
Ticker: EA
Stock exchange: NASDAQ

SOURCE: COMPANY WEBSITE MARKETLINE

Electronic Arts Inc. (EA or "the company") develops, markets, publishes, and distributes game software content and
services that can be played by consumers on a variety of video game machines and electronic devices. These platforms
include video game consoles such as the Microsoft Xbox 360 and One and the Sony PlayStation 3 and 4; personal
computers (PCs); and mobile phones and tablets.

The company operates development studios, which develop products and perform other related functions, in North
America, Europe, Asia and Australia. EA also engages third parties to assist with the development of its games at their
own development and production studios. Globally, the company conducts business through its international
headquarters in Switzerland and has wholly-owned subsidiaries throughout the world, including offices in Europe,
Australia, Asia and Latin America.

The company's studios and development teams are organized around three divisions: EA Studios, Maxis, and EA
Mobile.

EA Studios is engaged in the development of games and related content and services across an expansive range of
game categories. Its game franchises include The FIFA, Madden NFL, Need for Speed, Battlefield, Mass Effect and
Dragon Age. The studios include DICE (Sweden), EA Canada (Canada), Tiburon (the US), BioWare (Canada and the
US), and Visceral (the US). In addition to developing games in these studios, EA Studios contracts with external game
developers for development services or to establish publishing and distribution relationships.

Maxis is focused on creating games and related content and services that engage player creativity. Maxis' products
include the wholly-owned franchises The Sims and SimCity. Maxis games are primarily developed at studios in the US.

The company's EA Mobile division develops and publishes interactive games for play on mobile phones and tablets, as
well as certain casual games for the PC. Its brand portfolio includes wholly owned properties such as Plants vs.
Zombies, Real Racing, Bejeweled and Dungeon Keeper, as well as licensed intellectual properties such as Tetris, The
Simpsons and various intellectual properties owned by Hasbro. EA Mobile also manages the Pogo online service,
through which it offers casual games such as card, puzzle, and word games on www.pogo.com, as well as on other
platforms. Its studios are located in the US, Canada, China, Australia and India. Certain mobile games, such as those
related to the company's EA SPORTS franchises, are developed primarily by the EA Studios organization.

EA operates globally with support from its global publishing and marketing organization, which is responsible for the
distribution, sales, and marketing of its products, including strategic planning, operations, and manufacturing functions.
The organization also manages the company's global media advertising sales business and customer support teams.

Key Metrics
The company recorded revenues of $4,515 million in the fiscal year ending March 2015, an increase of 26.3% compared
to fiscal 2014. Its net income was $875 million in fiscal 2015, compared to a net income of $8 million in the preceding
year.

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Table 11: Electronic Arts Inc.: key financials ($)

$ million 2011 2012 2013 2014 2015


Revenues 3,589.0 4,143.0 3,797.0 3,575.0 4,515.0
Net income (loss) (276.0) 76.0 98.0 8.0 875.0
Total assets 4,928.0 5,491.0 5,070.0 5,716.0 6,147.0
Total liabilities 2,364.0 3,033.0 2,803.0 3,294.0 3,080.0

SOURCE: COMPANY FILINGS MARKETLINE

Table 12: Electronic Arts Inc.: key financial ratios

Ratio 2011 2012 2013 2014 2015


Profit margin (7.7%) 1.8% 2.6% 0.2% 19.4%
Revenue growth (1.8%) 15.4% (8.4%) (5.8%) 26.3%
Asset growth 6.1% 11.4% (7.7%) 12.7% 7.5%
Liabilities growth 23.3% 28.3% (7.6%) 17.5% (6.5%)
Debt/asset ratio 48.0% 55.2% 55.3% 57.6% 50.1%
Return on assets (5.8%) 1.5% 1.9% 0.1% 14.8%

SOURCE: COMPANY FILINGS MARKETLINE

Figure 15: Electronic Arts Inc.: revenues & profitability

SOURCE: COMPANY FILINGS MARKETLINE

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Figure 16: Electronic Arts Inc.: assets & liabilities

SOURCE: COMPANY FILINGS MARKETLINE

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Facebook, Inc.
Table 13: Facebook, Inc.: key facts

Head office: 1601 Willow Road, Menlo Park, California 94025, USA
Telephone: 1 650 543 4800
Website: www.facebook.com
Financial year-end: December
Ticker: FB
Stock exchange: NASDAQ

SOURCE: COMPANY WEBSITE MARKETLINE

Facebook Inc. (Facebook or "the company") is a free social networking website which allows registered users to create
profiles and share opinions, ideas, photos, videos, and activities with friends, family, colleagues and public figures. The
service is offered in more than 80 different languages. Facebook had 1.4 billion monthly active users (MAUs) and 890
million daily active users (DAUs) on average in December 2014. The company had on an average, 745 million DAUs
who accessed Facebook from a mobile device as of December 2014.

The company's service primarily targets users, marketers and developers. Facebook enables marketers to engage with
its MAUs based on information they have chosen to share with Facebook such as age, location, gender, or interests. The
company enables marketers to use its platform's insights to measure and optimize both the in-store and online
performance of their ad campaigns. The company enables developers to use its developer services to build, grow and
monetize their mobile and web applications that integrate with Facebook.

Facebook's business spans across a single division. However, the company operates through two business lines:
advertising; and payments and other fees.

The company's advertising revenue is generated by displaying ad products on the Facebook website or mobile
application and third-party affiliated websites or mobile applications. The payment is calculated based on the number of
clicks made by users, the number of actions taken by users or the number of impressions delivered. Facebook
recognizes revenue from the delivery of click-based ads in the period in which a user clicks on the content, and action-
based ads in the period in which a user takes the action the marketer contracted for. The company also recognizes
revenue from the display of impression-based ads in the contracted period.

Facebook's payments and other fees include revenues from users to purchase virtual and digital goods from developers
with applications on the Facebook website. Facebook users can transact and make payments on the website by using
debit and credit cards, PayPal, mobile phone payments, gift cards or other methods. The other fees consist primarily of
user promoted posts and its ad serving and measurement products, and the delivery of virtual reality platform devices.

Facebook's key products include Facebook platform, Instagram, Messenger and WhatsApp.

The Facebook platform, including the website and the mobile app enables users to connect, share, discover, and
communicate with each other on personal computers (PCs) and mobile devices. Key features of the Facebook website
and mobile app include news feed, timeline and graph search.

Instagram is a mobile app and website that enable users to take photos or videos, customize them with filter effects, and
share them with friends and followers in a photo feed or send them directly to friends.

The Messenger service is a mobile-to-mobile messaging application available on iOS, Android, and Windows phones.
The service works in the same way as texting (SMS) and lets users to reach others instantly.

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WhatsApp Messenger is a cross-platform mobile messaging application that allows people to exchange messages on
iOS, Android, BlackBerry, Windows Phone, and Nokia devices.

Key Metrics
The company recorded revenues of $12,466m during the financial year ended December 2014 (FY2014), an increase of
58.4% over FY2013. The operating profit of the company was $4,994m in FY2014, an increase of 78.1% over FY2013.
The net profit of the company was $2,925m in FY2014, an increase of 96.2% over FY2013.

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Alphabet Inc.
Table 14: Alphabet Inc.: key facts

Head office: 1600 Amphitheatre Parkway, Mountain View, California 94043, USA
Telephone: 1 650 253 0000
Fax: 1 650 253 0001
Website: www.google.com
Financial year-end: December
Ticker: GOOG
Stock exchange: NASDAQ

SOURCE: COMPANY WEBSITE MARKETLINE

Alphabet Inc. (Alphabet or "the company") is the successor issuer and parent holding company of Google. The
company's main business, Google, includes search, ads, maps, apps, YouTube and Android and the related technical
infrastructure. The company also owns businesses such as Calico, Nest, and Fiber, as well as investing arms, such as
Google Ventures and Google Capital, and incubator projects, such as Google X. Alphabet provides its products and
services in more than 100 languages and in more than 50 countries, regions, and territories.

The company manages its business under two segments: Google and other businesses.

Google is engaged in offering online search and display advertising services. It also offers the Android operating system
and consumer content through Google Play. Google provides its products and services in more than 100 languages and
in more than 50 countries, regions, and territories. It offers a range of services for consumers, and businesses. The
consumer services offered by Google include, search services, Chrome and Gmail services among others. Google offers
a range of tools to businesses, including advertising programs ranging from simple text ads to rich media ads that enable
businesses to find customers. Google also offers cloud computing tools for businesses and web products including
Chrome and Android solutions.

Google categorizes its products into nine categories, including web, mobile, business, media, geo, specialized search,
home and office, social and innovation. The web products offered by the company include web search, Google Chrome
and bookmarks. Google web search is a search engine that enables users to search billions of web pages. Google
Chrome is a freeware web browser. It offers Google bookmarks which is a free online bookmarking service available to
Google account holders. Google's mobile products include mobile, maps for mobile and search for mobile. The mobile
services offered include search services through Google app and Chrome; Google Maps for Android that enable
navigation; Google+ and Hangouts to connect and share for social networking; Google Play and YouTube offering
entertainment services; Google Drive and Gmail to create and collaborate and Google Wallet for online payments.

The business products offered by the company include AdWords, AdWords Express, AdSense, AdMob and DoubleClick.
Google AdWords enable businesses to market products and services in the Google search engine and its affiliated
websites. AdWords Express manages the placing and positioning of the ads on Google. Google AdSense is an
advertising placement service designed for website publishers to display targeted text, video or image advertisements on
website pages. AdMob is a tool offered for mobile app developers. DoubleClick is engaged in developing and providing
Internet ad serving services. In addition, it offers Google apps for work that include its office products; and Google
Analytics services.

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Google's media products include books that enables users to search full text of books; news to search thousands of
news stories; image search to search for images on the web; and video search to search for video on the web. Its geo
products include Maps and Earth. Google maps is a desktop web mapping service that offers satellite imagery, street
maps, 360 panoramic views of streets, real-time traffic conditions, and route planning for traveling by foot, car, bicycle,
or public transportation. Google Earth is a virtual globe, map and geographical information program that enables users to
explore 3D models of spacecraft; cities, buildings and structures; NASA images; and zoom distant galaxies over desktop,
web or mobile.

The specialized search products offered by Google include Custom Search, Scholar, and Trends. Google Custom
Search is a platform that enables web developers to feature specialized information in web searches, refine and
categorize queries and create customized search engines, based on Google Search. Google Scholar is an online search
engine that enables users to access both physical and digital copies of articles from a range of sources, including
academic publishers, universities, and preprint depositories among others. Google Trends is a public web facility that
offers search analysis based on particular search-terms relative to total search-volume.

Google's home and office products include Gmail a search based e-mail service; Docs to open, create and edit
documents; Slides to open, edit and create presentations; Drawings to create diagrams and flow charts; and Calendar to
organize, schedule and share events. In addition, Google offers Drive to create, share and store content; Sheets to open,
edit and create spreadsheets; Forms to build open surveys; Sites to create websites and Translate to translate text, web
pages, and files between over 50 languages. The social products offered by Google include Google+, Groups, Blogger,
and Hangouts. The innovation products offered include Code that offers software development tools, application
programming interfaces (APIs), and technical resources.

Alphabet's other businesses include Calico, Nest, and Fiber, as well as its investing arms, such as Google Ventures and
Google Capital, and incubator projects, such as Google X. Calico is a research and development biotech company
focused on developing advanced technologies for understanding biology that controls lifespan. Nest is engaged in the
production of programmable, self-learning, sensor-driven, Wi-Fi-enabled thermostats, smoke detectors, and other
security systems. Fiber is engaged in offering fiber-to-the-premises (FTTx) service in the US and provides broadband
internet and cable television services. Google Ventures provides venture capital funding to new companies that include
Uber, Nest, Slack, Foundation Medicine, Flatiron Health, and One Medical Group. Google Capital invests in growth stage
companies with a focus on emerging, long-term technology trends.

Key Metrics
The company recorded revenues of $66,001 million in the fiscal year ending December 2014, an increase of 10.3%
compared to fiscal 2013. Its net income was $14,444 million in fiscal 2014, compared to a net income of $12,920 million
in the preceding year.

Alphabet is the new holding company formed after the re-organization of Google. The revenue analysis presented in the
company profile is of Google, a direct, wholly owned entity of Alphabet. Effective October 2015, Alphabet became the
successor issuer to, and parent holding company of Google.

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Table 15: Alphabet Inc.: key financials ($)

$ million 2010 2011 2012 2013 2014


Revenues 29,321.0 37,905.0 50,175.0 59,825.0 66,001.0
Net income (loss) 8,505.0 9,737.0 10,737.0 12,920.0 14,444.0
Total assets 57,851.0 72,574.0 93,798.0 110,920.0 131,133.0
Total liabilities 11,610.0 14,429.0 22,083.0 23,611.0 26,633.0
Employees 19,835 24,400 53,861 47,756 56,300

SOURCE: COMPANY FILINGS MARKETLINE

Table 16: Alphabet Inc.: key financial ratios

Ratio 2010 2011 2012 2013 2014


Profit margin 29.0% 25.7% 21.4% 21.6% 21.9%
Revenue growth 24.0% 29.3% 32.4% 19.2% 10.3%
Asset growth 42.9% 25.4% 29.2% 18.3% 18.2%
Liabilities growth 158.4% 24.3% 53.0% 6.9% 12.8%
Debt/asset ratio 20.1% 19.9% 23.5% 21.3% 20.3%
Return on assets 17.3% 14.9% 12.9% 12.6% 11.9%
Revenue per employee $1,478,246 $1,553,484 $931,565 $1,252,722 $1,172,309
Profit per employee $428,787 $399,057 $199,346 $270,542 $256,554

SOURCE: COMPANY FILINGS MARKETLINE

Figure 17: Alphabet Inc.: revenues & profitability

SOURCE: COMPANY FILINGS MARKETLINE

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Figure 18: Alphabet Inc.: assets & liabilities

SOURCE: COMPANY FILINGS MARKETLINE

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MACROECONOMIC INDICATORS
Country Data

Table 17: United States size of population (million), 201115

Year Population (million) % Growth


2011 311.6 0.7%
2012 313.9 0.7%
2013 316.4 0.8%
2014 318.9 0.8%
2015(e) 321.4 0.8%

SOURCE: MARKETLINE MARKETLINE

Table 18: United States gdp (constant 2005 prices, $ billion), 201115

Year Constant 2005 Prices, $ billion % Growth


2011 13,815.0 1.6%
2012 14,135.6 2.3%
2013 14,449.3 2.2%
2014 14,794.9 2.4%
2015(e) 15,169.8 2.5%

SOURCE: MARKETLINE MARKETLINE

Table 19: United States gdp (current prices, $ billion), 201115

Year Current Prices, $ billion % Growth


2011 15,517.9 3.7%
2012 16,155.3 4.1%
2013 16,663.2 3.1%
2014 17,348.1 4.1%
2015(e) 17,962.3 3.5%

SOURCE: MARKETLINE MARKETLINE

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Table 20: United States inflation, 201115

Year Inflation Rate (%)


2011 3.2%
2012 2.1%
2013 1.5%
2014 1.6%
2015(e) 0.1%

SOURCE: MARKETLINE MARKETLINE

Table 21: United States consumer price index (absolute), 201115

Year Consumer Price Index (2005 = 100)


2011 115.2
2012 117.6
2013 119.3
2014 121.3
2015(e) 121.3

SOURCE: MARKETLINE MARKETLINE

Table 22: United States exchange rate, 201115

Year Exchange rate (/$)


2011 1.3912
2012 1.2856
2013 1.3281
2014 1.3290
2015 1.3290

SOURCE: MARKETLINE MARKETLINE

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METHODOLOGY
MarketLine Industry Profiles draw on extensive primary and secondary research, all aggregated, analyzed, cross-
checked and presented in a consistent and accessible style.

Review of in-house databases Created using 250,000+ industry interviews and consumer surveys and supported by
analysis from industry experts using highly complex modeling & forecasting tools, MarketLines in-house databases
provide the foundation for all related industry profiles

Preparatory research We also maintain extensive in-house databases of news, analyst commentary, company
profiles and macroeconomic & demographic information, which enable our researchers to build an accurate market
overview

Definitions Market definitions are standardized to allow comparison from country to country. The parameters of each
definition are carefully reviewed at the start of the research process to ensure they match the requirements of both the
market and our clients

Extensive secondary research activities ensure we are always fully up-to-date with the latest industry events and
trends

MarketLine aggregates and analyzes a number of secondary information sources, including:

- National/Governmental statistics

- International data (official international sources)

- National and International trade associations

- Broker and analyst reports

- Company Annual Reports

- Business information libraries and databases

Modeling & forecasting tools MarketLine has developed powerful tools that allow quantitative and qualitative data to
be combined with related macroeconomic and demographic drivers to create market models and forecasts, which can
then be refined according to specific competitive, regulatory and demand-related factors

Continuous quality control ensures that our processes and profiles remain focused, accurate and up-to-date

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Industry associations
GSMA
Floor 2, The Walbrook Building, 25 Walbrook, London, EC4N 8AF, GBR
Tel.: 44 207 356 0600
Fax: 44 20 7356 0601
www.gsma.com
CTIA - The Wireless Association
1400 16th Street, NW, Suite 600, Washington, DC 20036, USA
Tel.: 1 202 785 0081
Fax: 1 202 785 0721
www.ctia.org
The Consumer Electronics Association
1919 S. Eads St., Arlington, VA 22202, USA
Tel.: 1 703 907 7600
Fax: 1 703 907 7675
www.ce.org

Related MarketLine research


Industry Profile
Mobile Apps in Asia-Pacific

Global Mobile Apps

Mobile Apps in the United Kingdom

Mobile Apps in China

Mobile Apps in Japan

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APPENDIX
About MarketLine
In an information-rich world, finding facts you can rely upon isnt always easy. MarketLine is the solution.

We make it our job to sort through the data and deliver accurate, up-to-date information on companies, industries and
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Profiling all major companies, industries and geographies, MarketLine is one of the most prolific publishers of business
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Our dedicated research professionals aggregate, analyze, and cross-check facts in line with our strict research
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Disclaimer

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No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by any means,
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The facts of this report are believed to be correct at the time of publication but cannot be guaranteed. Please note that
the findings, conclusions and recommendations that MarketLine delivers will be based on information gathered in good
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MarketLine can accept no liability whatever for actions taken based on any information that may subsequently prove to
be incorrect.

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