Alphabet Inc’s Google and Apple Computer Inc generated $98.5 billion in revenue from Google Play and App Store in nine months in 2021.

A report by SafeBettingSites.com says the revenue by the two largest distribution channels for mobile apps is 25 per cent more than was generated for the same period in 2020.

It detailed that first-time installs in the Google Play store dropped by 2.1 per cent YoY to 27.6 billion between July and September, adding that Apple’s marketplace saw a decline of 1.2 per cent and a total of 8.1 billion downloads for the same period.

It stated that combined downloads for both app stores dropped around 2 per cent  YoY to 35.7 billion in Q3 2021, from 36.4 billion in Q3 2020.

Despite the slight drop in Q3, the app stores have continued to record significant growth in revenue for 2021.

The growth comes as consumers worldwide continue to spend more on mobile apps than ever.

The report noted that billions of people started using mobile apps not just for social networking, gaming, communication and entertainment but also to educate, get medical advice and do business in the wake of the outbreak of the COVID-19 pandemic.

The report projected that the increasing demand for mobile app solutions will continue fuelling the growth of the entire industry.

Citing data from Tower and App Annie, the report revealed that iOS users spent $63 billion on in-app purchases, premium apps and subscriptions in the nine months of  2021, 23 per cent more than in the same period a year ago.

In Q3 2021, the total revenues of App Store amounted to $21.5 billion, almost double that of Google Play.

Android users on the other hand spent $35.5 billion on apps in the nine months of the year, an increase from $28.2 billion spent for the period in 2020.