Where Do We See the Mobile Application Industry Over the Next Decade?

The still-nascent mobile application industry has seen exponential growth from a mere 500 apps in 2008 to over 8.9 million apps today. The mobile app industry, which was valued at USD 126.04 billion in 2019, is projected to register a CAGR of 18.6% in the period between 2020 and 2027.

The North American region leads the mobile app market owing to early adoption and the presence of leading technology giants like Apple, Microsoft, IBM, etc. The Asia Pacific region, it is predicted, will see the fastest growth in the next 10 years. The region will dominate the world mobile app market in the years to come owing to the rising smartphone and internet penetration.

8 Key Growth Factors

Smartphone and Internet Penetration: Smart devices, especially smartphones and the internet are necessary for most modern-day mobile applications to work. The increasing smartphone and internet penetration across the globe, especially in the Asia Pacific region, are driving growth in the mobile app industry. 

5G Technology: 5G networks promise to strengthen mobile connectivity and reduce latency issues, thereby, improving the speed at which data can be shared. This will make data sharing 10x faster than any current wireless networks. Even complex and large-sized applications can be more easily and quickly accessed. The resulting data-intensive environment will further open up and significantly transform the mobile app development market.

Growth of IoT and Smart Home Technologies: IoT technology improves connectivity and simplifies operations. These technologies are equipped with in-built wi-fi, Bluetooth and sensors, making them accessible and controllable from mobile. Given the fast-growing demand for IoT devices and smart home technologies, they will be game changers in the mobile app market.

Cloud Services: Cloud technology enables developers to securely store large volumes of data. So, data-heavy and complex apps can be built without worrying about internal storage limits of physical devices. Hosting costs are reduced significantly. Cloud-based apps load faster and improve user experience. As a result, cloud technology is massively impacting the growth of the global mobile app industry.

Big Data: By leveraging the insights contained in the voluminous data generated everyday, developers can improve the efficiency and performance of mobile apps and develop more customer-centric apps.

AI-ML Based Personalization: Modern-day mobile users demand personalized and interactive app experiences. Through the adoption of Artificial Intelligence and Machine Learning, apps can be effectively personalized and made more interactive and intuitive.

Low and No Code Development: Not all businesses can afford in-house app developers, or the resources required to outsource the development of mobile apps. With the advent of low- and no-code development, businesses can develop their own custom applications without any coding knowledge. It makes app development projects less complex and more straightforward.

AR-VR Integrations: Apart from the benefits to the gaming, retail and real-estate industries, AR-VR integrations in mobile have massive potential for the education and healthcare industries in delivering immersive experiences. Tools such as ARKit by Apple and ARCore by Google are now available and this, we believe, will lead to an influx of AR-VR-integrated apps in the years to come.

Driven by these 8 growth factors, we believe that the global mobile application industry will deliver increasing value to end-users and improve business outcomes in the years to come.

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