App Stores - Global Opportunities?

Bristol July 2009

Kieran Gutteridge - CTO

Agenda

•What are app stores?

•User perspective

•Developer perspective

•Consequences

Smartphone Sales

http://www.gartner.com/it/page.jsp?id=985912

What is an app store?•Device specific retail presence

•Allows consumption of digital goods on a device

•Facilitates a considered decision, download and possible purchase

•Allows a content provider access to a extent of market for a given device

Woolworths

Pick n Mix, Gifts, Games, “one size fits all”

Reasonable method to transact

Vanilla product offering, not consistent with an increasingly sophisticated digital, mobile marketplace

Why the need?• Carriers decks have existed since application

SDKs

• User need: extension to capability and utility of their device

• OEM need: diminishing B.O.M., margin and returns on hardware - movement to software in the value chain

• Operator need: extend beyond basic, commoditised telephony services and seek new revenue streams

• Developer opportunity: participate in the evolving ecosystem of application development

•Apple App Store (July 2008)

•Android Market (Aug 2008)

•Nokia OVI (May 2009)

•There are others

•Blackberry app world

•Skymarket

•App Catalog

Popular app stores

But I want it now!H

ow

ever

Cellu

lar

Data

WIF

I

Where ever

Phone Computer

AppleAppleOVIOVI

AndroidAndroid

CarrierCarrier

User PerspectiveEase

of

transa

ctio

n

hard

eas

y

Extent of geo coverage

local global

AppleApple

AndroidAndroidOVIOVI

CarrierCarrier

Dev PerspectiveA

ccess

ibili

ty o

f st

ore

hard

eas

y

Extent of geo coverage

local global

CarrierCarrier

OVIOVI

AppleApple

AndroidAndroid

Dev/User Perspective

hard

eas

y

local global

CarrierCarrier

OVIOVI

AppleApple

AndroidAndroid

Let's solve problems that

interest our users!• Payment is not interesting for a creative company or the user, territorially restricted models force a large % of project resource to be expended to achieve scale and distribution

• Unified payment allows super distribution, with a much smaller team

• Software should be able to scale territories easily, games are the obvious example

• More interesting problems for a developer; such as scaling, porting to other platforms, language variety, customization; time and effort can be spent marketing to users rather than dealing with middlemen

Discoverability•What if you want to launch on

multiple handsets?

•Multiple points to market in trying to establish a brand presence

•Education of users for different retail stores

Discoverability

http://www.shazam.com/music/web/pages/getshazam.html

Questions?

•kieran.gutteridge@intohand.com

•@kgutteridge