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iOS apps bring in 300% more revenue than Android counterparts

post #1 of 56
Thread Starter 
A new analysis of several top apps with both iOS and Android versions reveals that every $1.00 generated on iOS by an app corresponds to $0.24 in revenue for the Android version.

Analytics firm Flurry Analytics culled through its data in a report on Tuesday (via Daring Fireball) to examine Google Chairman Eric Schmidt's recent claim that app developers will prioritize Android over iOS in 6 months time.

According to the firm's data, the Android's share of new project starts has actually declined in 2011, a fact likely related to Flurry's finding that iOS apps tend to make significantly more money than their Android counterparts.

In the first quarter of 2011, new projects within Flurry's network were split 63 percent iOS, 37 percent Android. Android's share dropped to 27 percent in the second quarter and then fell again to 25 percent in the third quarter. The firm estimates that the Android platform will regain some momentum in the fourth quarter, projecting new 27 percent of new project starts to come from Android during the period.

With anticipation of the upcoming holiday season, as well as new hardware and software releases from both Apple and Google, developer interest for both platforms jumped up significantly in the third quarter. Flurry, which estimates that its analytics services power 25 percent of all apps on the App Store and Android Market combined, saw new projects jump from roughly 11,000 in the second quarter to 15,000 in the third quarter.



After noting diminished developer interest in Android, the firm then set out to test anecdotal reports from developers that they were making three to four times as much money on iOS as Android.

"To be sure, we pulled a sample of in-app purchase data from a set of top apps with versions on both iOS and Android, comprising of several million daily active users (DAUs)," the report noted. "Running the numbers, we find that, on average, for every $1.00 generated on iOS, the same app will generate $0.24 on Android."



Flurry viewed the largest single factor affecting developer support to be "the consumer's ability to pay." Within Apple's ecosystem, iOS device users must associate a credit card or gift card with their iTunes accounts when setting up a device. Android, however, doesn't have that requirement, resulting in less of its users being readily paying customers.

"Despite installed base numbers and daily activations, the almighty dollar still drives business decision making among application developers," the report concluded. "And with the critical holiday season upon us, developers are betting on iOS for Christmas 2011."

The revenue difference between Android and iOS apps has been a common theme among results from research and analytics firms. In September, one firm suggested that Apple will generate $2.86 billion in app revenue in 2016, compared to projections of just $1.5 billion for Android. That's in spite of the fact that the study expected Android app downloads to almost double downloads on Apple's platform in five years. Google recently announced that the Android Market had surpassed 10 billion downloads, compared to Apple's October revelation of 18 billion total App Store downloads.

Another study from September concluded that "Android developers make much less money from paid apps than iPhone developers do," citing piracy as an issue for Google's platform. Over 50 percent of Android developers reported that piracy was a problem for them, according to the Yankee Group.

Piper Jaffray analyst Gene Munster said last month that iOS appears to have taken in 90 percent of all dollars spent on mobile devices, compared to Google's 7 percent of gross revenue. Over the next three-four years, Munster sees Apple maintaining a dominant 70%+ share of mobile app dollars. He went on to estimate that 13.5 percent of App Store downloads are paid, compared to 1.3 percent of Android Market transactions.
post #2 of 56
I can only hope that Eric is reading these reports... and choking on them.
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post #3 of 56
Quote:
Originally Posted by island hermit View Post

I can only hope that Eric is reading these reports... and choking on them.

Won't he have to read it 300 times for it to have that effect?

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
Reply

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
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post #4 of 56
Let's see.....

If I were a developer, who would I rather be making apps for? iOS or Android? It's a real hard choice.

On iOS, the developer probably only has to make a couple of versions, one for iPhone/iPod Touch and one for iPad.

On Android the developer probably has to make more versions to accommodate the wide range of fragmented Android devices that are out there and the testing for all of the million different Android devices that are out there sounds like a huge pain in the ass.

I'm not a developer, but I've read that iOS is far easier and better to program for than Android. So that leaves a hard choice. Make an app for iOS and make 300% more money, or work much harder on a platform that is a pain to program for and make much less money.
post #5 of 56
Quote:
Originally Posted by island hermit View Post

I can only hope that Eric is reading these reports... and choking on them.

None of these stats matter. Eric Schmidt says in 6 months, you will develop for i scream scamwich whether you like it or not.

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
Reply

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
Reply
post #6 of 56
One word: Duh
post #7 of 56
Quote:
Within Apple's ecosystem, iOS device users must associate a credit card or gift card with their iTunes accounts when setting up a device.

Actually, you can get an Apple ID without providing credit card info. I just found out recently at the Apple Store when setting up accounts for my in-laws.
post #8 of 56
Quote:
Originally Posted by Suddenly Newton View Post

None of these stats matter. Eric Schmidt says in 6 months, you will develop for i scream scamwich whether you like it or not.

well no he said "you will want to develop for ICS whether you like ICS or not, perhaps even first."

but hey...who needs facts.
post #9 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

well no he said "you will want to develop for ICS whether you like ICS or not, perhaps even first."

but hey...who needs facts.

but here's the problem with that. Almost all iOS devices sold in the last 2.5 years will be on iOS5. Only a dozen (high guess-timate) of select Android devices will have ICS.
post #10 of 56
When I finish my iOS game, Android is not a priority; but I might well give it a shot one day, after the game is established on iOS and I have time to kill.

As a developer, my hesitation is more than just the lack of profit in supporting Android:

• Fragmentation: how many of my users are really on the latest Android version? Very few are even ABLE to run it at any given time, and fewer still actually do so. So my game must be hobbled by supporting old OS’s, far more than is the case with iOS.

• I’ve got spend agonizing amounts of time TESTING different Android configurations: a zillion hardware designs with a zillion carrier modifications and numerous aging versions of Android OS. Or, I can let my unsuspecting customers do the testing... but I’ve still got to follow up on what they report!

• From what I’ve heard, Android developers have to field customer service contacts that Apple handles for you on iOS. Stuff relating to the download/purchase/refunds and basic compatibility is more likely to end up in YOUR lap. And let’s face it, Android users suffer more problems than iOS users: you’re going to not only waste time, but face the wrath of users frustrated by the whole experience, without Apple to take any of that off your shoulders.

• I might need to go ad-supported, which is how Google thinks the world should be. Then my customers haven’t paid with money (only with their time and aggregated demographic data), so if they have problems, crashes, lose their high scores/progress... well, tough luck? But I really hate to shovel in ads! And I hate to settle for sending out something of poor-quality even if I end up with no good way to avoid it.

• It’s easier to pirate for Android (no need to jailbreak); but the KIND of piracy that worries me is when someone steals your app and then RESELLS it (or gives it away), possibly adding malware in the process. Doesn't happen on iOS. Guess who gets the support calls/emails for those pirated versions?

• Better middleware support on iOS. Just as app developers prefer iOS, so do middleware vendors making useful components so you don’t have to reinvent every wheel.

• And, since my app is a game, Game Center (achievements, multiplayer, push notifications, scoreboards) is a great draw for iOS.

I could deal with all of the above. Some do, at a cost in time and money. Some lose money doing so! Some even make a little. How many make ENOUGH money to be worth it? Very few, I suspect—and I would guess most of those tend to pretty simple, even shovelware, apps—but thus easier to test/support.

I’m sure that’s part of why you just don’t see the same quality of apps on Android to match the best on iOS. Still, after years, they just aren’t there. Android fans settle for “good enough I guess” and pretend those apps are the same. They’re not. (The other part is failing of the OS itself and its haphazard, primitive handling of UI. Possibly not a problem for my game, but a problem for non-game apps.)
post #11 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

well no he said "you will want to develop for ICS whether you like ICS or not, perhaps even first."

but hey...who needs facts.

Makes no difference what he said. Why should developers go out of their way to make apps for a company that doesn't protect their apps from piracy? An app store that resembles the wild west with no rules.
post #12 of 56
Does this study take into the fact that the android apps are often given away for free. And are add supported. Because then the revenue is split differently between the two platforms.
post #13 of 56
Quote:
Originally Posted by jungmark View Post

but here's the problem with that. Almost all iOS devices sold in the last 2.5 years will be on iOS5. Only a dozen (high guess-timate) of select Android devices will have ICS.

Indeed.

I'm not saying Schmidt is right but no need to continue disseminating disinformation.
post #14 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

Indeed.

I'm not saying Schmidt is right but no need to continue disseminating disinformation.

The asshat who is disseminating disinformation is the moron at Google who claimed that developers will prioritize Android over iOS in 6 months. What a retarded and idiotically stupid thing to say.
post #15 of 56
Quote:
Originally Posted by Apple ][ View Post

The asshat who is disseminating disinformation is the moron at Google who claimed that developers will prioritize Android over iOS in 6 months. What a retarded and idiotically stupid thing to say.

Good thing he never said that...
post #16 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

Good thing he never said that...

"Whether you like ICS or not, and again I like it a great deal, you will want to develop for that platform, and perhaps even first."

It his beliefe that ownership without utilization is all that is important in smartphones.
post #17 of 56
Quote:
Originally Posted by Conwaycf View Post

Actually, you can get an Apple ID without providing credit card info. I just found out recently at the Apple Store when setting up accounts for my in-laws.

If I recall correctly, you can create an "cardless" Apple ID by downloading one free app from the App Store on an iOS device.

You know from personal experience that you can delete all associated credit card info from an existing Apple ID.

Quote:
Originally Posted by Apple ][ View Post

Let's see.....

If I were a developer, who would I rather be making apps for? iOS or Android? It's a real hard choice.

On iOS, the developer probably only has to make a couple of versions, one for iPhone/iPod Touch and one for iPad.

On Android the developer probably has to make more versions to accommodate the wide range of fragmented Android devices that are out there and the testing for all of the million different Android devices that are out there sounds like a huge pain in the ass.

Actually, this was basically Rovio Mobile's explanation why Angry Birds sucked so bad on the first wave of that app's supported Android devices.

App developers work much harder pounding out Android apps, yet get less return. Nagromme has offered a list of Android developer issues that roughly parallel Rovio Mobile's observations.
post #18 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

Good thing he never said that...

You're just arguing semantics. It was clear what he meant.

If you have a problem with it, then you should complain to the numerous publications and sites that have reported his words as meaning exactly that.
post #19 of 56
Screw my comment. It sucked.
post #20 of 56
Quote:
Originally Posted by akhomerun View Post

There are enough cross-platform mobile development tools out there that there's no excuse not to have your app ready for all platforms, including games (I'm thinking of Unity).

And yeah, 24% of a lot of money is still a lot of money.

It's bad business.

Instead of wasting an enormous amount of time and energy in making an Android version that will only pull in less than a quarter of the revenues as the iOS version, that time is much better spent on working on another new iOS app.

If I were a developer, I would proudly state on my website, that my company does not develop for Android, and nobody should bother to ask as to when or if an Android version will become available.

post #21 of 56
Quote:
Originally Posted by akhomerun View Post


This statistic isn't surprising as there are many, many more budget options for Android users, and those budget users simply aren't going to be paying as much for apps.

There are just as many budget users on iOS. If not more then android. You still got people buying 3GSs and those phones are no spring chickens. iOS has another advantage that has led to its success.

Also considering its not that the android market is unsuccessful for developers. It is that the iOS app store is simply more successful. Many of you are looking at it as the iOS app store as the default but if you step back and look at each of them you see where the difference lead them to different money solutions. The iOS is store so successful is due in part to iTunes gift cards. Androids app market is great, I love it. However there is an entirely different way to make money with android then iOS. If you where to look at who is getting the most money from adds we would see a different story.

Also when looking at the words of Eric Schmidt a man with permanent Foot-in-mouth Syndrome you would know what he says is publicity.

Also
post #22 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

well no he said "you will want to develop for ICS whether you like ICS or not, perhaps even first."

but hey...who needs facts.

I like facts. You will actually find a lot of them here when talking about new technology, like a rumored new feature, or hardware. When it comes to bashing other companies, you should put your fact-addiction on hold and just read like you're watching a comedy.
post #23 of 56
Quote:
Originally Posted by Apple v. Samsung View Post


Also when looking at the words of Eric Schmidt a man with permanent Foot-in-mouth Syndrome you would know what he says is publicity.

Also

You're the best! Two hugs for ya!

There's no heart icon...
post #24 of 56
Quote:
Originally Posted by Apple v. Samsung View Post

Does this study take into the fact that the android apps are often given away for free. And are add supported. Because then the revenue is split differently between the two platforms.

Good question. It would be absurd to exclude ad revenue, but I’d like them to make that explicit.

Still, even Google makes twice as much ad revenue on iOS as on Android*, and there’s nothing about iOS that makes an ad-supported model difficult, so ads are not a reason for a developer to deploy to Android.

* Now that’s from search usage. But with more great apps on iOS than Android, and an easier-to-use OS and app market, I’m certain more iOS users use (not just download and delete or forget) more apps than their Android counterparts; whereas most Android users DO at least browse and search Google. (And some do nothing more! I have Android friends who do only two things 99% of the time: email and fight with the OS!) So whatever split Google sees, I suspect that what app developers see is skewed even more heavily toward iOS. In other words, hours-spent-in-apps-per-user must be higher on iOS. And with it, ad revenue!

Quote:
Originally Posted by Apple ][ View Post

Instead of wasting an enormous amount of time and energy in making an Android version that will only pull in less than a quarter of the revenues as the iOS version, that time is much better spent on working on another new iOS app.

Boldface added. My thoughts exactly! (Or, adding new features to the existing iOS app.)

If I release for Android (and I feel like I probably will make the experiment, ad-supported, some far off day) it will be partly because it brings publicity and attention to the title, and (maybe?) a few actual (iOS) sales. And partly just for the heck of it, because technology is my hobby!

By the way, another reason it’s easier to develop for iOS: there is a great, cheap, no-contract iOS device running the latest OS: the iPod Touch. If your phone is not an iPhone, that’s no problem! There isn’t anything equally good on Android if you don’t want to buy an Android phone and pay its contract! (And if there was, one device isn’t as good a test bed for the zillions of Android variations out there. One iPod Touch alone isn’t ideal, but it’s better than the Android situation!)

Lastly, of course, iOS has the iPad. It owns the tablet market. What developer wants to ignore that?
post #25 of 56
Quote:
Originally Posted by Steven N. View Post

"Whether you like ICS or not, and again I like it a great deal, you will want to develop for that platform, and perhaps even first."

It his beliefe that ownership without utilization is all that is important in smartphones.

Wow! You just hit android and win phone 7 in one sentence. I've got to remember this!

Thanks!
post #26 of 56
Quote:
Originally Posted by Apple ][ View Post

You're just arguing semantics. It was clear what he meant.

If you have a problem with it, then you should complain to the numerous publications and sites that have reported his words as meaning exactly that.

What you think he said and what he actually said are two completely different things.

And you HAVE to know that.

Hatred doesn't require lies, Apple ][
post #27 of 56
Quote:
Originally Posted by Vadania View Post

I like facts. You will actually find a lot of them here when talking about new technology, like a rumored new feature, or hardware. When it comes to bashing other companies, you should put your fact-addiction on hold and just read like you're watching a comedy.

lol...I should...but I'm combative my nature...I am entertained by argumentation.
post #28 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

What you think he said and what he actually said are two completely different things.

And you HAVE to know that.

Hatred doesn't require lies, Apple ][

You should take it up with AppleInsider, because this appears in the OP. Are you claiming that they're lying too?

Analytics firm Flurry Analytics culled through its data in a report on Tuesday (via Daring Fireball) to examine Google Chairman Eric Schmidt's recent claim that app developers will prioritize Android over iOS in 6 months time.

I guess thenextweb is also lying too?

Is Eric Schmidt right? Will developers prefer Android in 6 months?

http://thenextweb.com/google/2011/12...s-in-6-months/

Do a Google search yourself. Plenty of sites have characterized his words as meaning what has been said. I guess they're all lying too?
post #29 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

well no he said "you will want to develop for ICS whether you like ICS or not, perhaps even first."

but hey...who needs facts.

and the exact quote doesn't change the meaning AT ALL. but hey...nice try at assembling some kind of coherent counterpoint.

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
Reply

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
Reply
post #30 of 56
The Mole, I can feel him watching....
post #31 of 56
I just have to applaud an article that uses percentages properly All too often people would crow about that 24 cent to 1 dollar ratio as being 400% more instead of 300%. The math geek in me smiles


Quote:
Originally Posted by slapppy View Post

The Mole, I can feel him watching....

Nah that's some of the more fanatical around here sniffing around for new heretics BTW, the S in SSquirrel stands for Slappy. I always do a slight double take when I see your posts.
post #32 of 56
Quote:
Originally Posted by Suddenly Newton View Post

and the exact quote doesn't change the meaning AT ALL. but hey...nice try at assembling some kind of coherent counterpoint.

So "Developers will code for android first whether they like it or not," is the same as, "you will want to develop for ICS whether you like ICS or not, perhaps even first."

Really?

I guess "I stayed on the Apple board of directors for as long as I could until I couldn't stand it anymore," is the same as "I stayed on the Apple BoD for as long as I could until I couldn't stay anymore."

Words mean things.
post #33 of 56
Quote:
Originally Posted by Apple ][ View Post

You should take it up with AppleInsider, because this appears in the OP. Are you claiming that they're lying too?

Analytics firm Flurry Analytics culled through its data in a report on Tuesday (via Daring Fireball) to examine Google Chairman Eric Schmidt's recent claim that app developers will prioritize Android over iOS in 6 months time.

I guess thenextweb is also lying too?

Is Eric Schmidt right? Will developers prefer Android in 6 months?

http://thenextweb.com/google/2011/12...s-in-6-months/

Do a Google search yourself. Plenty of sites have characterized his words as meaning what has been said. I guess they're all lying too?

And they were all wrong...what they are basing their thoughts off of are not the words that were spoken.

Why must you all insist on continuing a lie?

Also, are you suggesting that the video recording of Eric Schmidt NOT saying what you all think he is saying somehow is a lie? a fabrication? what?
post #34 of 56
Quote:
Originally Posted by Apple v. Samsung View Post

Does this study take into the fact that the android apps are often given away for free. And are add supported. Because then the revenue is split differently between the two platforms.

Like the tens of thousands of free iOS apps?
post #35 of 56
Quote:
Originally Posted by SSquirrel View Post

I just have to applaud an article that uses percentages properly All too often people would crow about that 24 cent to 1 dollar ratio as being 400% more instead of 300%. The math geek in me smiles




Nah that's some of the more fanatical around here sniffing around for new heretics BTW, the S in SSquirrel stands for Slappy. I always do a slight double take when I see your posts.

Of course it's not mathematically precise without the + sign following the 300%.
post #36 of 56
Quote:
Originally Posted by mdriftmeyer View Post

Of course it's not mathematically precise without the + sign following the 300%.

Eh that's just a slight bit of rounding. It's still way closer than saying 400%
post #37 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

So "Developers will code for android first whether they like it or not," is the same as, "you will want to develop for ICS whether you like ICS or not, perhaps even first."

Really?

Yes, it is.
post #38 of 56
This article outlines one of the reasons, imo, that the comparison of Mac/pc against iOS/Android doesn't hold water.

Developers, of course, created applications for the pc rather than the Mac because that's where the money was/is. Volume also meant $$$.

If the same reasoning is held for iOS/Android then it becomes fairly obvious why developers will flock to iOS if this article is true.

Android might hold the market share crown but exposure without financial gains just won't cut it for the majority of developers... again, imo.
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post #39 of 56
This is perfect summary of what I have been telling people along with what is wrong with the Google/Android business model. Everyone complained when Apple was taking cut of music sale and then App sale, however, As you nicely pointed out. Those cuts are to cover all the things a developer does not have to deal with in the end.

If you think about it looks like Apple (Jobs) seriously did their work and understand the problems people would encounter and set out to set up a system they made it easy to everyone to enjoy the product.

I have to say, I did not even think about your point about someone pirating your app and selling or putting malware into. They is a really serious issue and not sure why anyone would go down the android path for that reason alone. Imagine is that happen on Android phone own by a company and somehow you apps was used to gain access to company information, You would expect one of those nice letters from the company saying you are being sued.

Quote:
Originally Posted by nagromme View Post

When I finish my iOS game, Android is not a priority; but I might well give it a shot one day, after the game is established on iOS and I have time to kill.

As a developer, my hesitation is more than just the lack of profit in supporting Android:

• Fragmentation: how many of my users are really on the latest Android version? Very few are even ABLE to run it at any given time, and fewer still actually do so. So my game must be hobbled by supporting old OS’s, far more than is the case with iOS.

• I’ve got spend agonizing amounts of time TESTING different Android configurations: a zillion hardware designs with a zillion carrier modifications and numerous aging versions of Android OS. Or, I can let my unsuspecting customers do the testing... but I’ve still got to follow up on what they report!

• From what I’ve heard, Android developers have to field customer service contacts that Apple handles for you on iOS. Stuff relating to the download/purchase/refunds and basic compatibility is more likely to end up in YOUR lap. And let’s face it, Android users suffer more problems than iOS users: you’re going to not only waste time, but face the wrath of users frustrated by the whole experience, without Apple to take any of that off your shoulders.

• I might need to go ad-supported, which is how Google thinks the world should be. Then my customers haven’t paid with money (only with their time and aggregated demographic data), so if they have problems, crashes, lose their high scores/progress... well, tough luck? But I really hate to shovel in ads! And I hate to settle for sending out something of poor-quality even if I end up with no good way to avoid it.

• It’s easier to pirate for Android (no need to jailbreak); but the KIND of piracy that worries me is when someone steals your app and then RESELLS it (or gives it away), possibly adding malware in the process. Doesn't happen on iOS. Guess who gets the support calls/emails for those pirated versions?

• Better middleware support on iOS. Just as app developers prefer iOS, so do middleware vendors making useful components so you don’t have to reinvent every wheel.

• And, since my app is a game, Game Center (achievements, multiplayer, push notifications, scoreboards) is a great draw for iOS.

I could deal with all of the above. Some do, at a cost in time and money. Some lose money doing so! Some even make a little. How many make ENOUGH money to be worth it? Very few, I suspect—and I would guess most of those tend to pretty simple, even shovelware, apps—but thus easier to test/support.

I’m sure that’s part of why you just don’t see the same quality of apps on Android to match the best on iOS. Still, after years, they just aren’t there. Android fans settle for “good enough I guess” and pretend those apps are the same. They’re not. (The other part is failing of the OS itself and its haphazard, primitive handling of UI. Possibly not a problem for my game, but a problem for non-game apps.)
post #40 of 56
Quote:
Originally Posted by AbsoluteDesignz View Post

And they were all wrong...what they are basing their thoughts off of are not the words that were spoken.

Why must you all insist on continuing a lie?

Also, are you suggesting that the video recording of Eric Schmidt NOT saying what you all think he is saying somehow is a lie? a fabrication? what?

Read the entire context:

'After an Android user in the audience expressed irritation at the fact that many hot apps showed up on iOS well before Android, Schmidt said my prediction is that six months from now youll say the opposite.

Ultimately, application vendors are driven by volume, and volume is favored by the open approach Google is taking. There are so many manufacturers working so hard to distribute Android phones globally, Schmidt said. Whether you like ICS or not, and again I like it a great deal, you will want to develop for that platform, and perhaps even first. Think of it as a transition over the next 6 months.'


Eric is plainly saying in 6 months time, Android development will be first over iOS. "my prediction is that six months from now youll say the opposite." can be taken no other way.

"Ultimately, application vendors are driven by volume, and volume is favored by the open approach Google is taking."

No, ultimately, application vendors are driven by profit. Ownership of a platform without utilization is not a success driven strategy.
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