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The Day Apple Changed Software Selling Forever: The Introduction of the App Store

  • On June 3, 2008, Apple introduced the App Store, disrupting the way software is sold and delivered.
  • The App Store made apps cheaper and eliminated the need for a large physical box to contain the software.
  • Despite Steve Jobs’ initial hesitancy, his internal team pushed for the App Store, and Apple eventually took a 30% cut of all sales.

In 2008, Apple introduced the App Store, a revolutionary way to buy and deliver software. Prior to the App Store, software was sold in physical boxes and cost up to hundreds of dollars. However, with the App Store, all software, for all devices, is sold and delivered in the same way. Users find the app online, they pay online, and it is downloaded straight to their device, eliminating the need for a physical box and making apps cheaper.

Despite Steve Jobs’ initial hesitancy to the idea of an App Store, internal team members pushed for it and eventually Jobs agreed. Tom Conrad, the Chief Technology Officer of Pandora, revealed that Jobs’ colleague Scott Forstall had invited him and fellow executive Tim Westergren to lunch and encouraged them to make an iPhone app by jailbreaking a phone. Jobs’ one-line reply to OS X chief engineer Bertrand Serlet on October 2, 2007 marked the beginning of the App Store.

At Macworld on January 15, 2008, Jobs revealed the App Store to the public. He explained the buttons and how to install apps and upgrades and introduced the idea of a 30% cut of all sales. Initially, this was not heavily criticized as it was a better deal than selling through retail stores.

The App Store changed the way software is sold and delivered, and its introduction in 2008 is a day that will forever be remembered in Apple history.

The App Store was launched on July 11, 2008 with over 500 apps and had an immediate impact. Steve Jobs himself said it was the biggest launch of his career and that the mobile industry had never seen anything like it. In its first month, the App Store had 60 million downloads, 30% of the amount of songs that had been downloaded in the 5 years that iTunes had been active. Despite the huge success, there have been criticisms of the App Store, from its gatekeeper position to the fees charged to developers. On its 10th anniversary in 2018, the App Store was still growing enormously. Recently, Microsoft has weighed in on the argument with an amicus brief, accusing Apple of antitrust practices and saying that if it is not stopped, its behavior will only get worse.

Despite the criticisms, the App Store has been an unimaginable success, and it’s been a huge part of the iPhone experience. In the 8 years since its 10th anniversary, it’s grown even more, and the criticisms have only multiplied. As the fight between Apple and Epic Games continues, we can only wait and see what the future holds for the App Store. Share this article with a friend to spread awareness and start a discussion about the App Store!

Over the past few years, several states, countries, and regulators have taken a stance against the App Store due to Apple’s monopolization of the mobile app industry. In January 2022, the attorneys general for 34 states and the District of Columbia [sided with](https://appleinsider.com/articles/22/01/28/epic-vs-apple-takes-new-turn-as-34-us-states-side-with-fortnite-maker) Epic Games, citing the harm Apple’s conduct has caused mobile app-developers and citizens. A Dutch regulator even [forced](https://appleinsider.com/articles/22/06/10/apple-adjusts-dutch-app-store-rules-for-dating-apps-to-comply-with-regulators) Apple to drop its 30% fee to 27%.

The European Union’s Digital Markets Act [could require](https://appleinsider.com/articles/22/11/01/europe-confirms-its-digital-markets-act-will-go-after-apples-app-store) Apple to allow third-party app stores by 2024, and Apple is reportedly [preparing for this](https://appleinsider.com/articles/22/12/13/apple-preparing-for-third-party-app-stores-by-2024). This would mean app developers could potentially leave Apple’s App Store and either set up their own or join an alternative. This could mean a saving and introduce apps to new audiences, but it is likely most developers will stay on Apple’s App Store as it is on every iPhone.

The App Store’s processes prevent the spread of malware to millions of iPhones, which is an issue for both users and developers. Apple Historian & Senior Editor, [William Gallagher](https://appleinsider.com/editor/william+gallagher) has 30 years of experience between the BBC and AppleInsider discussing Apple technology. Check out his thoughts on the App Store and its future.

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