Developer Says Cheap Apps Stifle iPhone’s Potential

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The proliferation of cheap applications on the AppStore is stifling innovation and holding Apple’s mobile touch platform back from realizing its true potential, according to developer Craig Hockenberry.

In a post Tuesday at his furbo.org blog, Hockenberry published an open letter to Steve Jobs, saying, “I’m not going to give you suggestions on what to do” about developers (himself included) working on 99¢ titles that have a limited lifespan and broad appeal instead of on “the cooler (and more complex) ideas that could see the utility of the platform taken to another level.”

He goes on to describe the economics of paying development team members the going rate of $150-200 per hour, the realities of having to make up the bulk of development costs during the short period of time an app is likely to be featured among the tens of thousands soon to be available on the AppStore, and concludes “there’s too much risk…in developing something that takes 6 or even 9 man months…with a break even at 215K or 322K units.”

Under the prevailing conditions, where 99¢ “ringtone apps” dominate the landscape, Hockenberry says “going for simple and cheap instead of complex and expensive” is the fiscally responsible choice for developers to make.

In the end, he says “We’re not afraid of competition. In fact, we welcome it as a way to improve our products and business. [But] we’re hoping for a way to rise above the competition when we do our job well, not just when we have the lowest price.”

It’s hard to quibble with Hockenberry’s assessments from a developer’s economic risk perspective, especially in the midst of a contracting economy such as the one at present. It’s also unlikely the iPhone’s “killer app” will end up being one that goes to market at 99¢.

From the perspective of consumers, though, from that of users of new technology that is itself in the midst of early stage development, of users who in many cases make purchase decisions sight-unseen or on the basis of 2 minute YouTubed product demos – simple and cheap seems just about right.

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12 responses to “Developer Says Cheap Apps Stifle iPhone’s Potential”

  1. MSLL says:

    A good developer will realize the potential of a good 99 cent iPhone app. Others have. Others just don’t get it yet.

    Besides, no one is forcing a 99cent app on developers but read above.

  2. Walt says:

    I can see his point if he were developing a tap tap revenge clone or something. But if a company were developing a truly innovative and necessary app, they could charge what they wanted. Users who truly need it would be intelligent enough to pay for it. There are quite a few niche apps that costs way over the standard .99 app. I, for example, would gladly pay $30-50 for an app that truly syncs with the iPhone Notes app.

  3. Andrew DK says:

    “the going rate of $150-200 per hour”

    You gotta be fucking kidding… if not, I’m in the wrong business!

  4. Doug Petrosky says:

    this doesn’t ring true to me. Even with his numbers for cost he is assuming only a few weeks of sales and ignoring that the iPhone Installed base is expected to almost double in the next quarter and then tripple in size over the following year. This doesn’t even count iPod sales which could double that again.

    Stop whining and look at what the likes of pangea have done. Killer apps will come with or with out him and I think it is about time prices stay low to increase volume and kill piracy.

  5. John McCormick says:

    I just recently bought OmniFocus for the iPhone. $19.99. Didn’t hesitate one bit because the application does what I want and nothing else comes close.

    However I see humongous potential for $0.99 applications/games as well. If you want to sell something that EVERYBODY can use/play you stand to make a lot of money by making many sales. The $19.99 application just isn’t going to appeal to everybody. $0.99 purchases can be a no brainer. $19.99 purchases have to be exactly what I want and I have to think about it.

  6. Max Cameron says:

    Hockenbaby should grow some, take a risk, and develop his gargantuan idea. He should learn how to trust his customers, his followers, and anyone in the world that would appreciate a hyper-functional iPhone app.

    But here’s what he doesn’t realize: The appStore is nothing more than a warehouse. Apple isn’t responsible for marketing our apps. Instead of bitching about the appstore, why don’t they put their energy into writing a more compelling story, making a smarter argument, or expanding their audience?

    iPhone apps are context-specific. If you wanted to impress a girl at a bar and strike up a conversation, would you pull out twitterific and say, “check out this app its’ SOOOO functional.” No, you wouldn’t, well maybe Hockenbaby would.

    Why not download a .99 ice-breaker application instead, which won’t provide you with a world of functionality, but it’ll do what you need to get done when it needs to get done.

    On the other hand, it’s nice to know that Hockenbaby is scared of us little guys, who actually have to break their backs to get a .99 piece of software out of there because we’re busy doing client work so we can eat on a daily basis.

    It is so obvious to me that the appstore will hit a million+ apps really soon. Don’t plan on apple selling your goods and holding your hand. Do like the little guys do, stop being afraid, get back to your roots, and take a risk.