Myplanet Digital: Better organizations through technology.

There is no better time to get into mobile application development. Thanks to pushes from mobile carriers, many mobile phone users are upgrading to a smartphone for the first time. Developing a mobile application, or “app,” is an accessible and profitable enterprise that can fit into many business models. I have compiled the answers to some frequently asked questions from clients regarding mobile application development below:

Who currently is developing apps for iPhone / BlackBerry / Android?

Third-party developers contribute almost all of the applications used on these devices. There are some key applications developed in-house by Apple/RIM/Google for bundling with new devices, but generally all apps installed after that are from developers who work for other firms.

There are some software companies that develop specifically for one device.  Some target multiple platforms.  Software vendors generally have a range of applications.  For example, "PopCap Games" publishes casual games.  Some software companies focus on one mega-popular application. For example, "Tapulous" focuses on a very successful music application.  Some apps are also developed by non-software industry companies in order to promote their brand (Ex: the TSN mobile app, the Weather Network app)

What type of “Red Tape” is involved in getting an app to market?

For Apple, you must register as an iPhone developer and be approved by Apple. The cost is $99 for an "App Store" license which makes your app available to the public or $299 a year for medium business in-house applications.  The application must also be approved by Apple, which typically takes a month or more. .

There are additional hurdles even once you are approved as an iPhone developer. Apple has tightened control of the actual app creation process. Third-party tools that allow you to “write-once, work-everywhere” are not allowed to be used. All code must be “originally written” in Objective-C. Although this requirement could be excessively stifling to app developers, in practice it is only selectively applied. For example, Apple has cracked down on tools from Adobe while other tools have been mostly un-molested. Whether this approach will continue in the future remains to be seen.

For RIM, you must register as an App World developer. A PayPal account is required.  BlackBerry apps must be approved by RIM. Several licensing models are available.

For Android devices, you must register with Android Market at a cost of $25.

For RIM and Android devices, you can also provide applications outside of the official channels with no red tape.

What cut will the publishers take?

Apps published through the Android Market and Apple App Store are subject to a 30% fee on each sale.

What other considerations are there in app development?

• Time - Development time will typically be on the order of months. 3-6 months is reasonable. Approval can take a month or more.

• Legalities - All IP ownership remains with the author. Apple/RIM will take a cut of sales of the application itself, if applicable.

• Start-up cost - the cost of a development environment plus developers. A development environment is a properly licensed Windows/Linux computer for Android/BlackBerry and an up-to-date (Snow Leopard) Mac computer for iPhone/iPad.  Developers vary greatly in price. 

• On-going expenses - Application maintenance is a necessary expense and will likely be charged at billable time at regular intervals. Expect to pay around 35% of the original application cost in maintenance over the next 1-2 years.

• Fees - Registering as a developer has a small related fee.  Hosting data for the application will require servers. Hosting can quickly spiral out of control if your app goes viral.

• Cost for the end user - You can distribute the application free, or you can charge whatever you like, on whatever pricing model you like.  The user may also be charged for using data by their cellular provider. Most smartphone users have a data plan, though.

Can an app be distributed outside of the official distribution channels?

• Apple - No (but yes if the application is web-based rather then an app. iPhone has a very robust web browser)

• BlackBerry - Yes

• Android - Yes 

Can I create an in-house application for my company?

• Apple – Yes, through the iPhone Developer Enterprise program. The program costs $299 a year and you must have a Dun & Bradstreet Number.

• BlackBerry – Yes, through normal distribution

• Android – Yes, through normal distribution

What resources are there for mobile advertising?

• Android
  The official advertising platform is Google Mobile AdSense. Google acquired mobile advertising giant AdMob earlier this year and is the first to have an officially supported advertising solution. Mobile AdSense comes in two flavours: an app-integrated ad network and a more traditional mobile web network.

• iPhone / iPad
  iPhone has no official advertising platform (yet.) Unofficially, a number of advertisers have sprung up with ad networks. AdMob remains the largest. AdMob also supports AdWhirl, a free ad mediation service for iPhone and Android that supports virtually all the major ad networks.
  This summer, iAd will launch as the official advertising platform for iPhone and iPad. The ads will be HTML5-based – this means ads can even be mini-apps within apps.

Why might an app be made available for free?

1. To promote the brand / product
2. To entice users to upgrade to a paid version with more features
3. To sell “in-app” content such as more levels
4. The app is ad-supported

Please feel free to ask your questions below.