The real business is app business

A MARKET THAT SHOWS NO SIGNS OF CONTRACTING, AS NICOLETTA CORROCHER EXPLAINS

by Camillo Papini

The daily use of smartphones has triggered a revolution that began in 2007, with the market launch of the first iPhone. That disruptive innovation has given rise to another element of discontinuity: the app system, a global market of about 140 billion downloads in 2020, growing by 24% a year, considering both the Apple and Android operating systems. "The first definition of smartphone dates back to 1997 but not all mobile phone companies immediately understood the potential of the new product and, above all, its impact on the consumer market", says Nicoletta Corrocher, Lecturer of Innovation Economics at the Department of Management and Technology of Bocconi University. “The telephone stopped being used only for communication and began to take over the typical functions of the personal computer. It was such a transformation that it also led to the complete replacement of the then industry leaders”. Moreover, confirming the initial vision of the smartphone as an entertainment tool, about 39% of current downloads concern game apps.

"The world of applications is an economy of its own that shows no signs of contracting", relaunches Corrocher, "and, although there is a small number of applications with many users and conversely many apps with few users, there is still room for others to make their debu ". The challenge of the future? "The winning app will be the one capable of commanding the greatest user attention," concludes Corrocher.