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Gameloft says it, others reining in Android plans
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Rochefort said the company has cut back on investment mostly due to weaknesses of Android’s application store.
“It is not as neatly done as on the iPhone. Google has not been very good to entice customers to actually buy products. On Android nobody is making significant revenue,” Rochefort said.
Games for iPhone generated 13 percent of Gameloft’s revenue in the last quarter. “We are selling 400 times more games on iPhone than on Android,” Rochefort said.
Pity. Google needs to fix this!
I just did a quick check of Gameloft’s offerings at the app store. They’ve got 83 apps ranging in price from free to US$7. Even the most expensive is significantly less expensive than games for the PSP or Nintendo DS. Then take Apple’s cut of the revenue generated by the sales of the apps. And it’s still 13% of that company’s revenue? Wow…
Apple’s cut is 30%
But to be fair, that 30% covers all distribution and payment transaction costs which Gameloft has to pay for by themselves for the non-iPhone stuff they do.
I’m not criticizing Apple’s cut. I’m just saying with such a low price point even before Apple’s cut, that the App Store accounts for 13% of that company’s revenue is pretty amazing.
It absolutely is. That’s why Nintendo and Sony are worried about the iPod Touch and the iPhone..