Thought this might be of interest to a few Android folks. http://www.guardian.co.uk/technology/appsblog/2012/apr/20/android-top-grossing-apps

Same is true for iOS. Freemium is the new model. Especially true for iOS since you can't try out as you can on Google Play. Most apps on either market are poorly designed and not worth paying for. Freemium allows the developer to demostrate their skill and content before you part with your money. http://www.gamesbrief.com/2011/12/go-free-to-make-money-on-ios57-of-the-top-grossing-games-on-the-us-appstore-are-free/ Fred

Edit: ahh inapp purchases are just another way of getting paid. Not truly free :)

Free is not free. Unless the app is basically a gift there's some form of payback. Ads, promotion of name or service, price of app, in app purchase. Question is which model works best for you. Not model is "best" it's all relative. Fred

I bought a game called water that was free and you could update, and buy bits, even considering my massive 69p purchase they keep updating with a few extra levels free and a paid section. I think this is the way to go. Give a paid user a few extras for nowt then they feel app love and buy a bit more. This game is better value than any console game and unlike GTAIV didnt make my driving faster and my diction worse than a homeboy docker at a strip bar doing a major narcotics deal.

Looking from a user point of view I rather purchase the game without any hidden addon purchases. I actually avoid it as a user. If I see that it has addon ons I don't even bother to download it. From a Dev point of view it's a great way to con a certain age group to pay up;)

Yeah freemium apps seem to be taking over, although even though they are growing in popularity I get the feeling people are growing tired of them. Anybody notice how Gameloft used to be the leading developer of 3D games in the app-store and they've recently gone the freemium route? It's kind of sad to see how many game developers don't care at all about making quality games, but instead are devoted to the science of how to tempt users with in-app purchases. Of course if I had the resources I would probably make a freemium game too so I can't really judge :)

now see...all you guys thought computers were for science, math and other techie stuff....nope. They are for PLAY lmao ;-) My Son is REALLY gonna like this when i tell him. He and I constantly argue about how much time should be spent "playing" on a computer...lol

Freemium is very profitable but it's very subtle and requires a lot of careful designs to maximize your profit. If you give away too much people won't pay, but if you give away too little people will not have fun and share your profit. I think that the best approach is to give people a way to share the app with their friends in lieu of having to pay (while also having that option for the lazy). Easiest way to scale while also making money

For an interesting article regarding the app economy go to www.MySkylla.com enter app economy in the search. Fred