III. Industry Analysis
[Company Name]directly or indirectly competes with all mobile applications. Direct competition will come from companies offering free and paid mobile applications,similar to [Company Name].
The following industry size facts and statistics bode well for [Company Name].
- The smartphone app development industry in the U.S. will reach an estimated $9.7 billion in revenues this year.
- Industry developers have capitalized on the smartphone’s rise over the last five years and quickly produced gaming, entertainment, productivity, and social apps to support U.S. consumers’ increasingly smartphone-centric lifestyles. This year, an estimated 138.8 billion app downloads worlwide will take place. Today, the Apple App Store (iOS) offers over 1.2 million apps, while Google Play (Android) houses over 1 million.
- Free downloads are expected to account for 95.5% of total downloads. According to Gartner, in-app purchases are expected to account for 48.2% of total mobile app store revenue Revenue from advertising is also expected to increase significantly.
- Key drivers include: Number of Mobile Devices, % Services Conducted Online, and E-Commerce Activity.