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Gameloft: 13% of Revenue from iPhone, Nobody Making Money on Android

Gameloft -- and other developers according to Gameloft -- are cutting back on development for Google's Android platform due to the "weakness" of the Android Market. According to Reuters, Gameloft finance director Alexandre de Rochefort said:

We have significantly cut our investment in Android platform, just like ... many others. [The Android Market] is not as neatly done as on the iPhone. Google has not been very good to entice customers to actually buy products. On Android nobody is making significant revenue."

Ouch. Harsh words. Meanwhile, with iPhone generating 13% of Gameloft's revenue (400 times more than Android), we'll no doubt see plenty more on the iTunes App Store.

While we've heard developers and pundits talk about the business advantage of the iPhone before, and while Android's numbers may be rising and soon, in the short term the bigger houses like Gameloft might just stick with where the money is.

Rene Ritchie

Rene Ritchie is one of the most respected Apple analysts in the business, reaching a combined audience of over 40 million readers a month. His YouTube channel, Vector, has over 90 thousand subscribers and 14 million views and his podcasts, including Debug, have been downloaded over 20 million times. He also regularly co-hosts MacBreak Weekly for the TWiT network and co-hosted CES Live! and Talk Mobile. Based in Montreal, Rene is a former director of product marketing, web developer, and graphic designer. He's authored several books and appeared on numerous television and radio segments to discuss Apple and the technology industry. When not working, he likes to cook, grapple, and spend time with his friends and family.

  • Not a real surprise. Android is attracting the open-source geek market. That market hates spending money, and likes tinkering - making the platform a moving target. Apple on the other hand, are gaining cashed up customers willing to spend.
  • Android owners are probably pirating apps at a much higher rate than iPhone users.
  • Give me a break. Android is just finally getting off the ground and this expert is already writing it's obituary. Talk about clueless. Now that Verizon and Sprint are pushing it, there will be a market for it.
  • No one cares about the Android no matter what that Motorola phone does..
  • @ezmac - how wrong you are.
  • Gquaglia: This expert is one of the major players in mobile applications. If he's played with Android, but doesn't see much in it - that's a concern for Android.
  • That's not what he said he said that they were not making any money at it. Android is only a year old and up till recently only had one phone on one carrier. Things are changing and it is only just now that it is stretching it's wings.
  • @Tom
    Compare that to the iPhone when it was a year old and 2.0 just hit. Huge difference. And yea, it's one phone on one carrier.
  • there's also alot of variations between iphone dev then android.
    first off iphone you can push the one and only device to the limits where as drawing grafix etc will be the same cross the platform.
    now take android write an app for the moto phones and it looks like crap on the htc just from resolutions so you need multi flavor / layered apps
    2nd note is unlike the iphone store or app store, you can install directly from links from other people. or from other websites its not the source of the store.
    3rd not all countries allow paid apps in the android market.
    thats it for now. but take an android phone, you like an app, you can send that app to a friend. he dont have to goto the market.
  • This site is for iPhone lovers, our oppinions and suggestions on an exceptional OS that has caught the eyes of millions. Coming from previous horrendous operating systems (mainly damaged by hackers and piratry), I know for a fact that this OS's so called "closeness" (which I'm frankly sick of reading, by the way) is what has kept it running as smoothly as it does. For those of you hating the iPhone so much, there's an android, pre, winmo central.
    If you hate the iPhone so much, then what the heck are you still doing here??
  • IPHONE!!!! Who needs Android?!?! One year in and they are Epic Failures!!! They even had time to learn from the iPhone's App store but they didn't!!! And another OS fails compared to the IPhone OS!!! How many times does the IPhone need to prove the haters wrong before they embrce!!
  • I am glad that i choose to buy an iPhone. There is a tremendeus amount of apps aviable in AppStore and more to come. Actually I write this comment on my iPhone :)
  • Had a droid about a week and it sucks took it back got a full refund and cancled. I LOVE MY iPhone never again will I do something stupid like that!!!!!!!!
  • Wow, the spelling errors in some of these posts, lol.
    On to the main topic though. Who was not to expect this? To some of the main comments...does this mean the "demise" and "failure" of Android? No. It's as simple as the man said...there just is no money to be had there. Just notice Google. People don't see Google as the "Pay To Use" name. Never have. So obviously when you see Google on a phone, you can go into it having that same expectation (which is actually accurate, most big name apps are indeed free).
    It might be true that Google is not giving a damn about developers. Saying you hop in, make your own choices. You succeed you succeed. You don't, tough titty. Google's main venture is money through ads and getting their proprietary services in the hands of others through a completely free service. They are FAR from failures.
    As far as Gameloft goes...hey. Nobody wants to play games on their Android phones. Sorry, that's just how it is. Look at the app download statistics. Top downloaded apps. Free and paid. Most apps are social, music, and productivity. Apple has marketed the iPhone/iPod Touch as a gaming machine. So of course people would go for that. Android is not a gaming machine. Never was meant to be. Don't really think Google ever cared for it to be.
    Why must it always be a "Teh Googlez failed and suxors because it's not doing what the iphonez does". Yet, if it did...then there'd be the "They copied" rants going on.
    Android is doing it's own thing...independent of developers of games (which seems to be the MAIN complaint). I say...leave the gaming side to iPhone. It does it the BEST on any mobile phone. Nobody (as of now) will be able to compete and that's how it's going to be. Specially these developers looking to make money by way of games, it's just not going to happen. Nobody wants to buy an Android phone to play games. These are traditional users.
    As has been stated many a times. iPhone OS and Android are NOT competitors. Android is more a threat to multi device OS. iPhone targets the one handset to rule them all consumer. And with the market as large as it is...contrary to belief...there is enough for more than one player in the market. =o -gasp-
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  • Thank you you cappy. Why do people come in here if you don't have a iPhone? Or looking to get one. If your not one of these people beat it. Its called the iPhone blog!
  • All people I know either owns an iPhone or a blackberry, except for very few who owns under $100 phone.
  • @iDavey.
    If you're going to criticize people for their spelling, at least try to make your own post grammatical. lol
  • @cappy & mac(fan)boy15
    First of all, to get your inevitable accusations out of the way, I have a 3GS and love it compared to any other phone I've had. Also, unlike most people who have iPhones these days, I didn't jump on the bandwagon when the cheapo-3G came out, I bought the 2G shortly after it came out. That said, criticizing the iPhone's shortcomings is not the same thing as "hating it."
    You two are fanboys, which are far worse
    than any critics. If all iPhone purchasers were like you (i.e. not complaining about obvious opportunities for improvement) we'd still have web apps that are "just as good" as the AppStore apps and still wouldn't have copy paste, among other things which Apple initially did not support. The only exception of this that I've seen is the idiots who bought 3Gs and then complained that they'd have to pay full price for the 3GS when it came out, even though that's the way it's always been for any other phone (although that was an AT&T issue).
  • Oh the Apple fanboyism. Far too closeminded to realize 3/4ths of BOTH markets are useless apps.. yes, both. Maybe if Gameloft didn't make shitty games on Android people would, you know, buy them. Quite frankly the apps they pushed for Android blew more than a corner hooker, if they spent a bit more. Time polishing them it'd actually be a worthwhile buy.
  • iDavey, great post, 100% agreed.
  • The Gameloft seem like to count on their affiliates rather then get advertise it by them self.Right know, they have so many affiliates and each of them promote it with their own affiliates.So all of you can imagine how much they have??
    I have join under the affiliate of Gameloft, not straight from the Gameloft itself.It's more complicated if we only promote the Gameloft.Better to use an affiliates that have lot of products to promote.
    The affiliates run like a matrix, imagine if it have a thousand affiliates.And each affiliates have a thousands to ten thousands affiliate.And the Gameloft didn't need to pay all of them, cause usually it's CPD/PPD.
    The affiliates that I have joined, has about 85K members and keep growing.It was a mobile basic affiliates, so most of them have promote the Gameloft.Cause the Gameloft accepted almost all country rather then others.
    Is there anyone agree with me??