Consumers are using apps on their mobile devices more than ever. Apple and Google are now battling it out to bring exclusive content for their respective OSes.
According to WSJ, Apple and Google have already started to get the attention of various developers to provide them with exclusive gaming content for their respective platforms. Some think that these companies are just in it for bragging rights but in actuality, the mobile gaming industry is booming and contributes as a major revenue path for both companies. This is similar to what is currently going on between the Xbox One and the PS4 where there are console exclusive content for the said devices.
Apps have already kicked the browser from the top of the list in terms of usage time and games are the main reason for this change. In fact, games account for over 30 percent of time spent on smartphones. That is a huge number and translates to some very big revenue.
Ideally, apps that are paid for one time would be good but since some apps are being pirated, many developers are changing their business model to be free but have in-app purchases. This is sometimes called the ?Freemium? model and this means that users get to play the game for free but can pay small amounts of money for getting a bit of an advantage or unlocking various levels like that of Candy Crush.
If for every purchase made on any of those freemium games, Apple or Google get a cut, you can image the magnitude of potential revenue they can exploit. By getting exclusive content for their respective OSes, these companies not only have revenue they can tap into, but also stop the competition from getting a piece of the revenue pie.
Gaming is a major player in the mobile world and anything that can be left exclusive on a certain OS will bring a lot of benefits for the company. It will suck for users though who don?t have the specific OS as they will have to find a way to get a device carrying the said OS or just forget about the app completely.
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