The USA's mobile app economy has created 519,000 jobs nationwide and is a significant economic driver for a number of states, according to a study released today by the CTIA and the Application Developers Alliance.
While app innovation is occurring across the country, particularly in renowned high-tech areas such as California and Washington, some unexpected states have emerged to the top app economy states. For example, Virginia and Maryland have close ties to government agencies and the military thus are developing apps for those sectors. Massachusetts' app developers are making higher education more accessible, while one Colorado app developer created the iTriage app, which helps people identify what could be wrong based on their medical symptoms.
The app economy is in its infancy, but is growing at an exponential rate. Apple iTunes and Android Market application stores first opened in 2008. According to CTIA's research, there are more than 2.4 million apps available on more than 11 different operating systems from more than 28 independent non-carrier stores. In 2011, the mobile app revenue was almost $10 billion , but by 2016, it's expected to be more than $46 billion.
The top 10 app economy states, ranked by economic impact (per million each year), are:
- California = $8,241
- Washington = $2,671
- New York = $2,313
- Texas = $1,183
- Massachusetts = $1,143
- New Jersey = $1,087
- Georgia = $1,062
- Illinois = $847
- Virginia = $788
- Pennsylvania = $632
The "app intensity" is determined by taking the percentage of app economy jobs in a state as a share of total jobs, which measures the importance of these jobs to a state. The national average is 1. The top 10 "app intensity" states and intensity figures are:
- Washington = 4.47
- California = 2.71
- Massachusetts = 1.71
- Oregon = 1.70
- Georgia = 1.56
- New Jersey = 1.29
- New York = 1.16
- Virginia = 1.04
- Delaware = 0.93
- Colorado = 0.90
Apps are increasingly a part of consumers' everyday lives. Consumers' insatiable demand for apps is driving the app innovation across the country. An example of the rapid growth of innovation, Applico, a New York-based app development firm and board member of the Application Developers Alliance, hired its first employee in May 2010 and expects to employ as many as 150 by the end of 2012.
"The app economy took off in 2008 and shows no signs of slowing down. It's a significant driver of great jobs that pay well while fostering and creating truly revolutionary and innovative ideas, products and services. Few could have known four years ago that we'd use our wireless devices to improve efficiency and effectiveness in industries such as health care, education, transportation and utilities. Precisely predicting what those capabilities will be four years from now is just as challenging, but I'm confident that the wireless industry's competitiveness and customer service-driven focus will lead to more awe-inspiring and innovative wireless devices and apps," said CTIA President and CEO Steve Largent.
