Economic Analysis & The App Store
I read two articles – the app bubble and bad news about iphone economics – which surprised me a bit. Their analysis, which doesn’t account for gain in human capital and the value of lock-in (or alternatively the cost of switching), seems to posit that the App Store is bad for everyone. I could be completely misevaluating the arguments presented, but I believe that if you dig into the arguments presented significant benefits are not being accounted for. Apple is Paid to Advertise Apps aren’t very profitable for Apple either…
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