Nearly 500,000 "App Economy" Jobs in U.S.

[Savoir Faire-Demogague in NJ]

Nearly 500,000 "App Economy" Jobs in U.S.

mjperry.blogspot.com/2012/02/nearly-500000-us-jobs-in-app-economy.html

(click link for links to studies/articles noted in this story)

Related to an earlier post today about how just Apple's iPhone division is now bigger than the entire Microsoft company (based on Q4 sales revenue), there's a new study that was just released today titled "Where the Jobs Are: The App Economy," by Michael Mandel, economist and blogger.

From the Executive Summary:

Nothing illustrates the job-creating power of innovation better than the App Economy. The incredibly rapid rise of smartphones, tablets, and social media, and the applications—“apps”—that run on them, is perhaps the biggest economic and technological phenomenon today. Almost a million apps have been created for the iPhone, iPad and Android alone, greatly augmenting the usefulness of mobile devices.

On an economic level, each app represents jobs—for programmers, for user interface designers, for marketers, for managers, for support staff. But how many? Conventional employment numbers from the Bureau of Labor Statistics are not able to track such a new phenomenon. So in this paper we analyze detailed information from The Conference Board Help-Wanted OnLine database, a comprehensive and up-to-the-minute compilation of want ads, to estimate the number of jobs in the App Economy.

This analysis shows that the App Economy now is responsible for roughly 466,000 jobs in the United States, up from zero in 2007 when the iPhone was introduced. This total includes jobs at ‘pure’ app firms such as Zynga, a San Francisco-based maker of Facebook game apps that went public in December 2011. App Economy employment also includes app-related jobs at large companies such as Electronic Arts, Amazon, and AT&T, as well as app ‘infrastructure’ jobs at core firms such as Google, Apple, and Facebook. In addition, the App Economy total includes employment spillovers to the rest of the economy.

Moreover, we find that App Economy jobs are spread around the country. The top metro area for App Economy jobs, according to our research, is New York City and its surrounding suburban counties, although San Francisco and San Jose together substantially exceed New York. And while California tops the list of App Economy states, states such as Georgia, Florida, and Illinois get their share as well. In fact, more than two-thirds of App Economy employment is outside of California and New York. Our results also suggest that the App Economy is still growing at a rapid clip, which shouldn’t be a surprise to anyone."

[Savoir Faire-Demogague in NJ]

Just Apple's iPhone Alone is Now Bigger Than All of Microsoft

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www.businessinsider.com/iphone-bigger-than-microsoft-2012-2


"Apple's iPhone business alone is now bigger than Microsoft. Not Windows. Not Office. Microsoft. Think about that. The iPhone did not exist five years ago. And now it's bigger than a company that, 15 years ago, was dragged into court and threatened with forcible break-up because it had amassed an unassailable and unthinkably profitable monopoly.

The iPhone also appears to be considerably more profitable than Microsoft. In the December quarter, Apple's iPhone business generated $24.4 billion of revenue. Microsoft's whole company, meanwhile, from Windows to Office to servers to XBox, generated $20.9 billion (see chart above).

If we assume that Apple generates the same operating profit margin on its iPhone business that it generates on its overall business--38%--the iPhone business generated about $9.3 billion of profit in the December quarter. All of Microsoft, meanwhile, generated only $8.2 billion."

MP: Let's hope that the Apple iPhone's phenomenal success doesn't trigger any government antitrust investigations, Congressional inquiries into "windfall profits," or legislation calling for a "Reasonable Profits Board" to control Apple's profits.

[Savoir Faire-Demogague in NJ]

..fund takes aim at Facebook board of directors...

news.cnet.com/8301-1001_3-57373182-92/calif-pension-fund-says-facebooks-board-needs-women/

Calif. pension fund says Facebook's board needs women

Facebook is under fire for having an all-male board of directors.

The California State Teachers' Retirement System (CalSTRS) sent a letter to Facebook yesterday complaining that the world's largest social network doesn't have women on its board. The organization also criticized Facebook for having a small board.

"We are disappointed that the Facebook board will not have any women members," CalSTRS corporate governance director Anne Sheehan wrote to Facebook, according to Reuters, which obtained a copy of the letter. "We believe that investors and the company would benefit from a larger, more diverse board."

CalSTRS is the second-largest pension fund in the U.S. The organization provides retirement benefits and services to teachers in public schools and community colleges, and currently holds some ownership in Facebook. The organization says that it plans to hold Facebook common stock when the company goes public.

For such a prominent company, Facebook's seven-member board is somewhat small. The company's co-founder and CEO Mark Zuckerberg is board chairman. He's flanked by venture capitalist Marc Andreessen, Accel Partners shareholder Jim Breyer, Washington Post Company chairman and CEO Donald E. Graham, Netflix CEO Reed Hastings, University of North Carolina President Emeritus Erskine Bowles, and Founders Fund partner Peter Thiel.

Google's board, meanwhile, is made up of 10 directors, including three women. Apple has one female director on its eight-person board.

It's not immediately clear why CalSTRS is taking aim at Facebook now, since it's been holding company stock for quite some time. However, the letter is likely a response to Facebook's decision last week to file for an initial public offering. The social network hopes to raise $5 billion on a $100 billion IPO.

Neither Facebook nor CalSTRS immediately responded to CNET's request for comment on the letter.

[Savoir Faire-Demogague in NJ]

What?? 21 reads, and no one is pounding me unmercifully?

You guys disappoint me.....

[Deleted]

Feb 8, 2012 12:42:41 GMT -5 Savoir Faire-Demogague in NJ said:

What?? 21 reads, and no one is pounding me unmercifully?

Trying to stir up the EE sexual innuendo crowd?

[Savoir Faire-Demogague in NJ]

Moi?


Seriously, Arch, I'd expect the usual suspects to run me off the forum. It's been almost 30 minutes. I've lost all respect for them... the "them" know who they are....
















PS: I'm just joking around guys....

[Deleted]

For what it is worth, I heard about this this morning. It is great that the App market place is thriving. I wish I had an app for that.

[Savoir Faire-Demogague in NJ]

Feb 8, 2012 12:51:53 GMT -5 ArchietheDragon said:

For what it is worth, I heard about this this morning. It is great that the App market place is thriving. I wish I had an app for that.

Isn't it insane that just the iPhone business is bigger then all of Microsoft?

[Deleted]

Feb 8, 2012 12:54:17 GMT -5 Savoir Faire-Demogague in NJ said:

Feb 8, 2012 12:51:53 GMT -5 ArchietheDragon said:

For what it is worth, I heard about this this morning. It is great that the App market place is thriving. I wish I had an app for that.

Isn't it insane that just the iPhone business is bigger then all of Microsoft?

Microsoft is a dinosaur. Apple is at least trying to keep things fresh.

[Savoir Faire-Demogague in NJ]

Oh, I had a link to a story but was afraid to post it yesterday because of the limits... What's his name, the CEO of Microsoft...Balmer? in a youtube video five or so years ago, was laughing at the iPhone, don't have the link here, I am home today.

[Savoir Faire-Demogague in NJ]

www.businessinsider.com/flashback-steve-ballmers-first-take-on-the-iphone-september-22-2007-2010-6

FLASHBACK: Steve Ballmer's First Take On The iPhone, January 2007

January 2007:

INTERVIEWER: ... The Zune was getting some traction. Then Steve Jobs goes to MacWorld and he pulls out this iPhone. What was your reaction when you saw that?

STEVE BALLMER: 500 dollars? Fully subsidized? With a plan? I said that is the most expensive phone in the world. And it doesn't appeal to business customers because it doesn't have a keyboard. Which makes it not a very good email machine.

INTERVIEWER: How do you compete with that, though? He sucked out a lot of the spotlight...

STEVE BALLMER: Let's take phones first. Right now, we're selling millions and millions and millions of phones a year. Apple is selling zero phones a year. In six months, they'll have the most expensive phone by far ever in the marketplace...

Watch...

[jkapp]

Conventional employment numbers from the Bureau of Labor Statistics are not able to track such a new phenomenon.

Why don't they build an app for it?

[floridayankee]

The biggest problem I see with apps is the pre-installed crap that you cannot uninstall. I have several on my droid (Verizon) that I have no desire to keep but I can't delete them. Every day I have a notification that these apps have updates to be installed. Every day I have to ignore that notification. Do all phone companies have their own pre-installed garbage apps like this?

[jkapp]

Feb 8, 2012 13:00:10 GMT -5 Savoir Faire-Demogague in NJ said:

www.businessinsider.com/flashback-steve-ballmers-first-take-on-the-iphone-september-22-2007-2010-6

FLASHBACK: Steve Ballmer's First Take On The iPhone, January 2007

January 2007:

INTERVIEWER: ... The Zune was getting some traction. Then Steve Jobs goes to MacWorld and he pulls out this iPhone. What was your reaction when you saw that?

STEVE BALLMER: 500 dollars? Fully subsidized? With a plan? I said that is the most expensive phone in the world. And it doesn't appeal to business customers because it doesn't have a keyboard. Which makes it not a very good email machine.

INTERVIEWER: How do you compete with that, though? He sucked out a lot of the spotlight...

STEVE BALLMER: Let's take phones first. Right now, we're selling millions and millions and millions of phones a year. Apple is selling zero phones a year. In six months, they'll have the most expensive phone by far ever in the marketplace...

Watch...

No one ever really knows what the next big thing will be...the makers of a product can just hope consumers clamor to it.

I think just about every popular invention had people scoff at the idea of it at some point.

[floridayankee]

The Zune was getting some traction.

I bought the Zune for DW for Christmas a few years back simply because I didn't care for the ipod. She loves it. 1,200 songs on it and counting.

[floridayankee]

Feb 8, 2012 14:20:59 GMT -5 jkapp said:

No one ever really knows what the next big thing will be...the makers of a product can just hope consumers clamor to it.

I think just about every popular invention had people scoff at the idea of it at some point.

And, now for some real doozies.....

"There is no reason anyone would want a computer in their home."
-- Ken Olson, president, chairman and founder of Digital Equipment Corp. (DEC), maker of big business mainframe computers, arguing against the PC, 1977

"Television won't last because people will soon get tired of staring at a plywood box every night."
-- Darryl Zanuck, movie producer, 20th Century Fox, 1946

"The horse is here to stay, the automobile is only a fad."
-- Advice of President of Michigan Savings Bank to Horace Rackham, lawyer for Henry Ford, 1903 (Rackham ignored the advice and invested $5000 in Ford stock, selling it later for $12.5 million)

And, not tech related, but still a doozie...
"You ain't going nowhere, son. You ought to go back to driving a truck."
-- Jim Denny, manager of the Grand Ole Opry, in firing Elvis Presley after a performance, 1954
www.permanent.com/quotes.htm

[billisonboard]

iPhone on Sprint: Great for sales, terrible for profits

iPhone helped drive up activation numbers for Sprint. Still, the company posted a major loss in the last quarter of 2011, thanks to the iPhone.

www.csmonitor.com/Innovation/Horizons/2012/0208/iPhone-on-Sprint-Great-for-sales-terrible-for-profits

[Don Perignon]

Feb 8, 2012 12:42:41 GMT -5 Savoir Faire-Demogague in NJ said:

What?? 21 reads, and no one is pounding me unmercifully?

You guys disappoint me.....

Well, you've established a reputation for being a bit dry.

Perhaps you should consider moisturizing.

[Don Perignon]

Feb 8, 2012 12:54:17 GMT -5 Savoir Faire-Demogague in NJ said:

Feb 8, 2012 12:51:53 GMT -5 ArchietheDragon said:

For what it is worth, I heard about this this morning. It is great that the App market place is thriving. I wish I had an app for that.

Isn't it insane that just the iPhone business is bigger then all of Microsoft?

Yeah, and there was a time when the "Hula Hoop" dominated toy sales.
People crave and demand novelty and innovation, especially shallow people. Fads come and go. Booms are followed by busts.
Beanie Babies, it turns out, are NOT as good as money in the bank.

[dumdeedoe]

Isn't it insane that just the iPhone business is bigger then all of Microsoft?

A shame more like it..........
www.digitaljournal.com/article/318569?tp=1

If you take your manufacturing over seas and sell your product for a premium price you will be very successful.........

[AgeOfEnlightenmentSCP]

Feb 8, 2012 22:31:00 GMT -5 Don Perignon said:

Feb 8, 2012 12:42:41 GMT -5 Savoir Faire-Demogague in NJ said:

What?? 21 reads, and no one is pounding me unmercifully?

You guys disappoint me.....

Well, you've established a reputation for being a bit dry.

Perhaps you should consider moisturizing.

I'm not going to translate here, I'm just gonna leave it lie.

The whole computer industry and the Internet economy is a great example of what's possible if the government not only isn't involved, but stays the heck out of he way.

[AgeOfEnlightenmentSCP]

If we ever do have a clean, green energy economy- it will not be brought to you by a taxpayer funded boondoggle, but by the people that brought you the tablet, the smart phone, and gorilla glass and myriad other innovations.

[Mkitty is pro kitty]

The whole computer industry and the Internet economy is a great example of what's possible if the government not only isn't involved, but stays the heck out of he way.

"The origins of the Internet reach back to research of the 1960s, commissioned by the United States government in collaboration with private commercial interests to build robust, fault-tolerant, and distributed computer networks. The funding of a new U.S. backbone by the National Science Foundation in the 1980s, as well as private funding for other commercial backbones, led to worldwide participation in the development of new networking technologies, and the merger of many networks."

en.wikipedia.org/wiki/Internet

When it comes to facts, your posts sure seem to stay the heck out of their way.

If we ever do have a clean, green energy economy- it will not be brought to you by a taxpayer funded boondoggle

Or, like in the computer industry, the government helps it get its feet on the ground and let it mostly do whatever.

[AgeOfEnlightenmentSCP]

Feb 9, 2012 11:28:39 GMT -5 Mkitty is pro kitty said:

The whole computer industry and the Internet economy is a great example of what's possible if the government not only isn't involved, but stays the heck out of he way.

"The origins of the Internet reach back to research of the 1960s, commissioned by the United States government in collaboration with private commercial interests to build robust, fault-tolerant, and distributed computer networks. The funding of a new U.S. backbone by the National Science Foundation in the 1980s, as well as private funding for other commercial backbones, led to worldwide participation in the development of new networking technologies, and the merger of many networks."

en.wikipedia.org/wiki/Internet

When it comes to facts, your posts sure seem to stay the heck out of their way.

If we ever do have a clean, green energy economy- it will not be brought to you by a taxpayer funded boondoggle

Or, like in the computer industry, the government helps it get its feet on the ground and let it mostly do whatever.

Blah, blah, blah coldwar-- this argument is a nonstarter. It's like giving credit to Eisenhower for the trucking business. Thanks for the infrastructure- maybe, I don't know. Because we never got a chance to see what private industry might have done, or done better for that matter-- we don't really know.

The government really got out of the way in 1994 when it opened up the internet for commerce, and the internet has thrived largely unmolested by government ever since.