Users worldwide are predicted to spend $156 billion on Apple’s App Store and Google Play by 2023 according to new data published by Sensor Tower.
The forecast marks a 120% increase from 2018 at a compound annual growth rate of 16.8% over five years.
Furthermore, the Apple App Store and Google Play are projected to double their respective revenues between 2018 and 2023. Indeed, Apple could reach $96 billion in revenue in the years leading up to 2023, which represents a growth of 104% from $47 billion in 2018.
Meanwhile, Google Play is projected to reach $60 billion in global spend, up 140% from 2018. This means that Apple continues to be the dominant platform for app store spend, however Google is closing the gap.
The rise in revenue is led by growing smartphone and app usage, but also boosted by improved network performance.
Sensor Tower’s data also noted that Latin America and Africa were marking some of the strongest growth in revenue on the App Store over the next five years at 239% and 296%, respectively. However, Google Play is projected to grow more heavily in those regions with revenue growth at over 400% in both regions between 2018 to 2023.
Overall, China still dominates at $12.7 billion in revenue growth in 2023 compared to $5.7 billion in 2018 (App Store). The US ranked second followed by Japan and South Korea.