Google Gaining Ground, Apple Keeps the App Store Gaming Lead

App Store 2008Apple’s (NASDAQ:AAPL) App Store continues to lead the market in portable gaming revenues, but the Android-based Google (NASDAQ:GOOG) Play store is gaining ground according to a new joint report by market research firm IDC and app analysis company App Annie.

According to the report, Google Play game spending exceeded traditional portable gaming console revenues for the first time in the second quarter of 2013. However, despite Google Play’s recent gains, Apple’s App Store still hauled in over twice the revenue of Google Play.

The App Annie & IDC Portable Gaming Report examined the shift in consumer game spending from portable gaming-optimized consoles made by companies such as Sony (NYSE:SNE) and Nintendo, to mobile devices made by Apple and Samsung (SSNLF.PK). The report noted that consumer game spending through the iOS App Store and Google Play combined was approximately four times the amount spent on games for traditional handheld gaming consoles last quarter.

Source: blog.appannie.com

Game spending also drove the overall growth of both app stores. Approximately 40 percent of the total app downloads from both the iOS App Store and Google Play store were game apps. Games were also responsible for over 70 percent of total app revenues from both app stores.

As noted in the App Annie & IDC Portable Gaming Report from the first quarter of this year, the Asia-Pacific or APAC region is especially lucrative for all gaming platforms. Google Play acquired most of its second quarter revenue from this region.

Overall, the report found that gaming-optimized handhelds are continuing to lose ground to iOS and Android-based mobile gaming devices. Mobile gaming devices covered by this report included smartphones, tablets, and Apple’s iPod touch. The report noted that the gaming-optimized handheld installed user base was approximately 200 million in the second quarter of this year. In contrast, the worldwide smartphone installed base grew to almost 1.25 billion in the second quarter, while the tablet user base exceeded 180 million.

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