---
title: "App Annie: Mobile App Market Revenue to Reach 1.2 Trillion by 2020, with Games Accounting for 55%"
locale: "en"
language: "en-HK"
published: "2016-11-04T15:09:14+08:00"
updated: "2026-03-17T23:05:07.346Z"
canonical: "https://accordhk.com/blog/app-annie-mobile-app-market-revenue-to-reach-1-2-trillion-by-2020-with-games-accounting-for-55-208"
---

# App Annie: Mobile App Market Revenue to Reach 1.2 Trillion by 2020, with Games Accounting for 55%

App Annie forecasts that the mobile app market will reach US$189 billion in 2020, up 170% from US$70 billion the previous year. Games will continue to generate most revenue, while advertising will help non-gaming app publishers increase their share to 45%.

## In brief

App Annie's 2016 forecast puts the mobile app market at US$189 billion by 2020. Growth will be driven by increased app usage and a doubling of the smartphone and tablet installed base, while advertising will lift non-gaming publishers' revenue share to 45%.

In its latest report, App Annie forecasts that the mobile app market will reach US$189 billion in 2020, up 170% from last year's US$70 billion. Meanwhile, [gaming](<http://app-develo­per-hk.com>) apps will account for 55 percentage points of total revenue from [mobile app stores](<http://app-develo­pment-hk.c­om>).

However, while game publishers will continue to earn the majority of revenue, advertising will drive the revenue share of [non-gaming app](<http://app-develo­pment-hong­-kong.com>) publishers from 34% (US$24 billion) in 2015 to 45% (US$85 billion) in 2020. App Annie forecasts that, by 2020, in-app [advertising revenue](<http://app-develo­per-hong-k­ong.com>) and app store revenue will each exceed their combined revenue in 2015.

App Annie attributes the growth in revenue from in-app advertising and [app stores](<http://apps-devel­oper-hk.co­m>) mainly to two key factors. The first is a significant increase in the time users spend on apps: it forecasts that time spent using mobile apps will rise by 114 percentage points over this period, after doubling over the past two years. The second is that the global installed base of smartphones and tablets will double to 6.2 billion devices by 2020.

“Today, app publishers can come from any industry, extending beyond game studios and media and entertainment companies. Banks, retail stores, airlines, ride-sharing services and government agencies are all releasing their own apps,” App Annie writes in its report. “To harness the tremendous growth of the [app economy](<http://apps-devel­opment-hk.­com>), [publishers](<http://apps-devel­oper-hong-­kong.com>) need to prepare to capture future market opportunities when developing business plans covering areas such as product launches, performance targets, overseas expansion and portfolio management.”

http://www.heasay.com/post/581b26c8e4b005c6b75f75bf/App%20Annie2020%20%E5%B9%B4%E7%A7%BB%E5%8B%95%20App%20%E5%B8%82%E5%A0%B4%E6%94%B6%E5%85%A5%E5%B0%87%E9%81%94%2012%20%E8%90%AC%E5%84%84%EF%BC%8C%E9%81%8A%E6%88%B2%E4%BD%94%E6%93%9A%2055%EF%BC%85

## Frequently asked questions

### How large did App Annie expect the mobile app market to be in 2020?

The report discussed in this 2016 article forecasts a market size of US$189 billion in 2020, up 170% from US$70 billion the previous year.

### How did App Annie expect advertising to affect non-gaming app publishers?

Advertising was expected to increase their revenue share from 34% (US$24 billion) in 2015 to 45% (US$85 billion) in 2020.

### What were the two main drivers of app revenue growth?

App Annie identified increased time spent using apps and a growing installed base of smartphones and tablets. It forecast that the global installed base would double to 6.2 billion devices by 2020.

### What did the report advise app publishers to consider in their business plans?

Publishers should prepare to capture future market opportunities when planning product launches, performance targets, overseas expansion and portfolio management.
