∞ App Store seen as reason for the success of iPhone

With over 65,000 apps available, and 1.5 billion downloaded in its first year, Apple’s App Store is being touted as one of the main reasons for the success of the iPhone 3GS and iPhone 3G. App StorePiper Jaffray senior analyst Gene Munster said in a research note that with big companies like Sirius and ESPN coming to the iPhone and promoting their apps, Apple is getting more exposure than it otherwise would.

The effect on Apple has been twofold according to Munster. First, it has boosted sales of the new iPhone 3G, but it is also making the less expensive iPhone 3G popular among price conscious shoppers.

“The smart phone industry has effectively crowned the iPhone and its App Store the gold standard among touchscreen mobile experiences, and competitors are trying to copy the device and its software,” said Munster.

As its competitors advertise their own touchscreen products, they are making the iPhone even more popular, according to Munster. He said the effect is similar to when iPod competitors copied it and tried to promote their products as being superior.

  • iphonerulez

    The software is selling the hardware for Apple and most cellphones companies just don’t get it. Nokia is going to throw the Maemo N900 at the iPhone. That is a beautiful piece of hardware that every tech-geek is swearing they’ll buy because it can multitask up the wazoo and has a pull out keyboard. It’s even got a fine camera. But when it comes right down to selling that brick, Nokia won’t stand a chance. I’ll bet hardly anyone but some die-hard tech-nut will even know the N900 exists. It’ll probably sell about as many units as the over-hyped Palm Pre.

    Apple has all the developers wrapped around their fingers and nobody is going to move from the Apple mobile platform. This Nokia N900 is already in for some bad times. You walk up to someone on the street and ask them what’s the Ovi Store and they’ll probably just stare blankly. Ask anyone what iTunes is and they’ll most likely say they use it all the time with their iPods. The N900 will be totally screwed as badly as the N97. Nice cellphones with nobody to buy them.

  • Should be “The effect on Apple. . .” in third paragraph.

  • Should be “He said the effect is similar. . .” in fifth paragraph.

  • The competition was caught flat-footed from Day One with the iPhone. Never mind the App Store. But together, the iPhone/App Store has been the one-two punch thats put the competition “down for the count” AS SOON AS they entered the ring.

    It’s the overall system integration covering not just the phone, but Mac–and even Windoze–computers, as well.

    OS X is the “little engine that could.” Not that it’s small, or even the “sleeper” that the snobs now see it to be. It’s just that the snobs finally have to give it credit for proving itself over nearly a decade of steady development.

    It’s also Xcode along with the whole multi-level, multi-faceted, API framework structure which streamlines the whole development process. Then there’s the whole development automated interface consisting of the Simulator, Instruments, and the App Store/Developer interface. It’s all worked out.

    It would take years for anyone to better this whole ecosystem. And it kind of looks like no one ever will.