Africa’s Digital Opportunity

INTRODUCTION

Africa stands at a remarkable crossroads of opportunity. Over the past two decades, the continent has not only experienced impressive economic growth but has also emerged as a global leader in digital transformation. Since the advent of the smartphone in 2007, Africa has made extraordinary strides in connectivity, innovation, and technological adoption. In 2007, fewer than 50 million Africans had mobile internet access; today, that number exceeds 600 million. Mobile money services, pioneered in Africa, now facilitate over $800 billion in transactions annually, transforming commerce and financial inclusion.

Africa’s economic trajectory further reinforces its promise. Led by Niger, African nations accounted for eleven of the world’s fastest-growing economies in 2024, with continent-wide GDP growth exceeding the global average by about one percentage point. Demographically, Africa is also the fastest-growing region, with the U.N. projecting that an additional one billion people will inhabit the continent by 2050. This growth presents both challenges and immense opportunities — particularly in the technology sector. By strategically investing in digital infrastructure, skills development, and regulatory frameworks that foster innovation, Africa can not only sustain its economic growth but also become a global technology powerhouse. But regulators and policymakers across Africa must foster this opportunity for growth with the right mix of regulatory frameworks and not make the mistakes others are making, such as the European Union.

Read the full report. 

Argentina: AI and the App Economy

INTRODUCTION

The global App Economy was born 16 years ago, in July 2008, when Apple unveiled the first App Store. Soon after, Google opened the Android Market, which later became Google Play. In this way, Apple and Google created a whole new global market for mobile applications, leading to an unprecedented wave of mobile apps in gaming, entertainment, social media, finance, e-commerce, productivity, health, and other areas.

In addition to benefiting smartphone users, the App Economy has become a potent source of job growth worldwide and in Argentina. Starting from zero 16 years ago, the Progressive Policy Institute (PPI) estimates that Argentina’s App Economy includes 28,000 workers as of September 2024. These include workers who help develop, maintain, and support mobile applications and keep them safe and secure.

One of the hottest new areas of the App Economy has been the application of artificial intelligence (AI) to mobile apps. We will see a wide variety of AI-enabled mobile applications developed to improve efficiency and userfriendliness in areas such as health care, manufacturing, agriculture, mining, and government. Such applications of AI to mobile apps may be easier and quicker to develop than more massive “foundational” systems, such as ChatGPT and its competitors.

From the perspective of Argentina — which is fighting a serious economic downturn as of the date of this paper — this trend offers new opportunities for the country to participate in the global tech boom. President Javier Milei, who took office in December 2023, has been encouraging investment and hiring by global tech firms and positioning Argentina as a potential global AI hub. One way Milei’s effort could succeed is by using the combination of AI and the App Economy to help boost the IT sector

This paper takes an initial look at the potential convergence of AI and the App Economy in Argentina. First, the paper estimates the number of workers employed in Argentina’s App Economy, using a methodology we have applied globally. We estimate the size of the iOS and Android ecosystems and give examples of App Economy jobs in Argentina. Second, the paper estimates the number of workers employed in AI-related jobs in Argentina using the same methodology and gives examples of AI-related jobs. Third, the paper discusses how AI can help grow Argentina’s App Economy.

Read the full report in English and Spanish.

Antitrust regulators shouldn’t disassemble one of America’s engines of growth

The Department of Justice has presented its framework of sweeping potential remedies in the Google antitrust case, including “behavioral and structural” changes that go far beyond the specifics of the court’s findings.

But government antitrust regulators should be wary about disassembling one of America’s engines of growth. The information sector — of which Google is an important contributor — has performed amazingly well in recent years, accounting for more than a quarter of all private sector growth since 2019. Over the same stretch, the information sector also benefited customers by lowering prices while the rest of the economy was going through an inflationary surge.

Equally important, tech firms are America’s technological leaders in an increasingly competitive world, filling in the gap left by a lack of government funding for research and development.  Over the past ten years, inflation-adjusted U.S. R&D spending has risen by more than 60%. Virtually none of that increase in real R&D spending came from government. Ironically, the competitiveness-enhancing R&D gains have been almost totally driven by businesses such as Google, which invested a stunning $45 billion in R&D in 2023, more than triple a decade earlier.

In a 2022 report from PPI’s Innovation Frontier Project, “American Science And Technology Leadership Under Threat: Restrictive Antitrust Legislation And Growing Global Competition,” co-authors Sharon Belenzon and Ashish Arora of Duke University argue that:

“Antitrust regulations that reduce the size and limit the scope of tech firms weaken their incentives to make the large-scale, long-run investments in science and technology, vital for national security and economic prosperity….At a time when the United States critically depends on a handful of firms to pursue large scale research projects, such proposals would play into the hands of foreign rivals.” 

They further went on to conclude that:

“There is a close relationship between the incentives to invest in research and the scale and scope of the firm. Without the leadership of firms with substantial scale and scope, the full potential of general-purpose technologies may not be realized.” 

Antitrust regulators may be tempted to “fix” America’s engines of growth by disconnecting parts deemed to be unnecessary. But remember: The rest of the world looks enviously at the U.S. tech sector, which is running fast and investing for the future.

An Initial Look at the App Economy Across North and Sub-Saharan Africa

INTRODUCTION

One of the triumphs of the Information Revolution is the ability to connect countries, consumers, and businesses around the world. Africa, in particular, is moving into a new stage of connectedness. The 2Africa underwater fiber cable, the world’s largest subsea cable system, is scheduled to be completed in 2024, connecting 30 or so North African and Sub-Saharan African countries with Europe and Asia, and doubling data capacity.

At the same time, data consumption and smartphone penetration have soared. For example, in Nigeria, data consumption rose by 38% in 2023, according to the Nigerian Communications Commission.

One of the biggest beneficiaries of the new data capacity will be Africa’s “App Economy.” The rapidly growing number of smartphone users will be able to more easily use mobile applications to download information and entertainment both domestically and globally.

More important, for Africa, the evolving App Economy is a potent source of future well-paying jobs. The App Economy includes those workers engaged with developing, updating, maintaining, and securing mobile apps, as well as the workers supporting the app developers. As the Progressive Policy Institute (PPI) has shown in previous research, the App Economy is booming in many countries at various stages of economic development.

Now it’s Africa’s turn. Nigeria already has 45,000 App Economy jobs, according to PPI’s new estimate (presented in this paper). Egypt, South Africa, and Morocco have 51,000, 15,000, and 9,000 App Economy jobs, respectively. Much more growth is possible with the right policies.

None of these jobs existed 15 years ago, when Apple first opened the App Store on July 10, 2008, in the middle of the global financial crisis. Android Market (which later became Google Play) was announced by Google shortly after. These app stores created a new route through which software developers in any country could write programs for smartphones. These mobile applications — called “apps” — could then be distributed to the rapidly growing number of smartphone users around the world.

The jobs generated by the app stores became an important part of the global economic expansion. Originally, apps were associated with games and social networks, but over the years, apps became critical to every area of the economy: Retail, travel, education, banking, health care, agriculture, and government.

More than that, app development and app stores became a key route by which young people can develop tech skills, either by building their own apps or helping develop apps for global markets. App development is a stepping-stone, if you will, to other aspects of the global digital economy.

In this pioneering paper, we estimate the number of App Economy jobs for two North Africa countries and two sub-Saharan countries where we have sufficient data to make reasonable estimates. We calculate the size of the iOS and Android ecosystems for these countries and compare them to peers adjusting for size. Finally, we also give some examples of App Economy jobs for these four countries, and touch on some policy implications for growth.

Read the full report in English, French and Arabic.

Fixing Canada’s economic slump? There’s an app for that

By Michael Mandel

“You’ve seen those signs that say, ‘In emergency, break glass.’ Well, it’s time to break the glass,” warned Carolyn Rogers, senior deputy governor of the Bank of Canada, in a recent speech on Canada’s sluggish economic growth. Inflation, high costs of living, and insufficient growth rates continue to dominate Canada’s political narrative. Since 2019, Canada’s economy has grown by an intolerably slow rate of roughly 1.5 percent a year. That’s faster than European states like the United Kingdom and Germany, but much less than the United States.

Within the overall gloomy picture, Canada’s digital sector has been one of the few bright spots. Since 2019, the output of the information and communications technology sector has grown by 21 percent. Data processing was up by 52 percent, and computer systems design was up by 39 percent.

In particular, within Canada’s digital sector, mobile application development and support has turned out to be a vibrant source of growth. Apps are no longer just about playing games or scrolling through social networks. Instead, people are using apps to connect with their health-care providers, interact with their cars, and for banking and shopping. At the same time, mobile apps have become increasingly important to all sorts of businesses—apps to track trucks, to monitor energy systems and forestry operations. The Progressive Policy Institute has estimated there are 385,000 “App Economy” jobs in  Canada as of April 2024, up 47 percent since 2018.

Keep reading in The Hub.

The Future of the Canadian App Economy

INTRODUCTION

Since 2019, Canada’s digital sector has outperformed the rest of the national economy. The output of the information and communications sector has grown by 21%, compared to 5% for the economy as a whole. Data processing was up by 52% and computer systems design up by 39%.

Within the digital economy, mobile application development and support is a particularly important sector. Apps are no longer just about playing games or scrolling through social networks. Instead, people are using apps to connect with their health care providers, interact with their cars, and for banking and shopping. At the same time, mobile apps have become increasingly important to all sorts of businesses — apps to track trucks, to monitor energy systems and forestry operations. Moreover, artificial intelligence, low latency, and high bandwidth 5G connections, virtual/ mixed reality, Intensive data processing, and on-device machine learning will give rise to entire new categories of mobile applications.

All of this app development and support is a potent source of new jobs. In this paper we estimate 385,000 App Economy jobs for Canada, as of April 2024, up 47% since 2018. None of these jobs existed 16 years ago, when Apple first opened the App Store on July 10, 2008. Android Market (which later became Google Play) was announced by Google shortly after. These app stores created a new route through which software developers could write programs for smartphones. These mobile applications— called “apps” — could then be distributed to the rapidly growing number of smartphone users around the world.

Moreover, app development and the app stores are a key route by which young people can develop tech skills and become an integral part of the global digital economy.

In addition to estimating the number of jobs in Canada’s App Economy, this paper also estimates the size of the iOS and Android ecosystems. We compare Canada’s App Economy with other industrialized countries. Finally, we also give some examples of App Economy jobs, with special attention to the geographic and industrial diversity of the App Economy.

Read the full report.

Europe’s App Store Regulation Experiment

The European Union is running a massive regulatory and economic experiment. In information technology, a key sector where the region is lagging, the EU has adopted several pieces of prescriptive legislation — including the Digital Markets Act (DMA) — designed to change the behavior of the most successful tech companies (none of which are European).

In response to the DMA, Apple has just announced a massive restructuring of its App Store infrastructure in Europe, including provisions for alternative app stores and changes in pricing schemes. Apple has made a good faith effort to comply with the DMA, while still creating a safe haven for developers and consumers who prefer the current system.

The question is, what will be the impact of all of these changes? First, implementing the new regulations will mean more uncertainty for developers and consumers. App Economy workers are not likely to be helped, either. We note that before the DMA went into effect, PPI’s latest analysis shows that the iOS ecosystem accounted for 2.1 million jobs in the European Union in 2023, up 52% since 2019. Additional uncertainty could slow down that growth.

Another issue is the safety of the new app stores. Apple will be “notarizing” apps downloaded from the new app stores, using a combination of automated checks and a basic human review to guard against malware or collection of “private, sensitive data without a user’s knowledge.” Apple notes that while notarization “includes basic protections designed to reduce some of the new risks created by alternative app distribution,” the notarization process does not set the “same high bar for privacy and security as the App Store.”

As a result, alternative app stores pose the danger of a race to the bottom, both for app stores and developers. Security is expensive. Each update or version has to be extensively tested, and the data protections maintained in operation. Developers have an incentive to spend less on security and more on flashy new features. Alternative app stores may have an incentive to be more hospitable to developers who invest less in security.

For other countries that are considering DMA-type bills, it’s a good time to step back and see how the EU regulatory experiment plays out. Will the new regulations make a positive difference to consumers and developers? Or will the massive new rules get in the way of innovation and growth?

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The App Economy in Turkey

INTRODUCTION

What is the future of the global App Economy? The average person already spends hours each day on mobile applications, connecting with friends and relatives, watching news and entertainment, playing games, and doing daily tasks such as shopping and banking. People will use apps to interact with their cars, to connect with their health care. Artificial intelligence, low latency and high bandwidth 5G connections, virtual/mixed reality, intensive data processing, and on-device machine learning will give rise to entire new categories of mobile applications. Individuals and businesses will become ever-more dependent on mobile apps for their daily lives.

For Turkey, the evolving App Economy is a potent source of future jobs since developing, updating, maintaining and securing mobile apps is becoming even more important. Turkey already has 112,000 App Economy jobs, according to PPI’s new estimate (presented in this paper). None of these jobs existed 15 years ago, when Apple first opened the App Store on July 10, 2008, in the middle of the global financial crisis.1 Android Market (which later became Google Play) was announced by Google shortly after.2 These app stores created a new route through which software developers could write programs for smartphones. These mobile applications — called “apps” — could then be distributed to the rapidly growing number of smartphone users around the world.

The jobs generated by the app stores became an important part of the global economic expansion. More than that, app development and the app stores became a key route by which young people can develop tech skills and became an integral part of the global digital economy.

In this paper we estimate the number of App Economy jobs for Turkey, as of August 2023. We calculate the size of the iOS and Android ecosystems for Turkey. We compare Turkey’s App Economy to other peer countries.

Read the full report in English and Turkish

The App Economy in Australia, 2023

INTRODUCTION

What is the future of the global App Economy? The average person already spends hours each day on mobile applications, connecting with friends and relatives, watching news and entertainment, playing games, and doing daily tasks such as shopping and banking. People will use apps to interact with their cars, to connect with their health care. Artificial intelligence, low latency and high bandwidth 5G connections, virtual/mixed reality, intensive data processing and on-device machine learning will give rise to entire new categories of mobile applications. Individuals and businesses will become ever-more dependent on mobile apps for their daily lives.

Australia is a key player in the evolving global App Economy. Australian-based app developers with a strong global presence include Sydneybased Canva, the online design and visual communication platform with more than 130 million monthly users across 190 countries. In 2022, Tasmania-based Savage Interactive won an Apple Design Award for its art app Procreate, and Melbourne-based Studio Drydock won for its game Wylde Flowers. Gold Coast-based Desygner, known for its graphic design apps and brand management software, has more than 20 million users worldwide. And Melbourne-based fintech app Afterpay, acquired by Block, the parent company of Square, in January 2022, is still hiring extensively in Australia, based on its job postings.

Looking forward, the Australian App Economy is a potent source of future jobs, since developing, updating, maintaining and securing mobile apps is becoming even more important. None of these jobs existed 15 years ago, when Apple first opened the App Store on July 10, 2008, in the middle of the global financial crisis. Android Market (which later became Google Play) was announced by Google shortly after. These app stores created a new route through which software developers could write programs for smartphones. These mobile applications —called “apps” — could then be distributed to the rapidly growing number of smartphone users around the world.

The jobs generated by the app stores became an important part of the recovery from the financial crisis of 2008-2009, the subsequent economic expansion and the response to the pandemic. More than that, app development and the app stores became a key route by which young people can develop tech skills and became an integral part of the global digital economy.

In this paper we estimate 182,000 App Economy jobs for Australia, as of August 2023, and compare it to previous PPI estimates. We estimate the size of the iOS and Android ecosystems. We compare Australia’s App Intensity with other industrialized countries, where App Intensity is defined as the number of App Economy jobs as a share of total employment. Finally, we also give some examples of App Economy jobs, with special attention to export-oriented jobs.

Read the full report.

 

EU App Economy: Skills for the Digital Age

INTRODUCTION

Since 2019, employment in the EU App Economy has risen by 53%, to 2.9 million. That’s according to the latest estimate from the Progressive Policy Institute, presented in this paper. By comparison, U.S. App Economy employment was 2.6 million in 2022, a gain of 14% from 2019.

What accounts for this rapid increase in EU App Economy jobs? And to what extent is the App Economy creating new opportunities for women and other nontraditional groups to enter tech sector employment? Because of the lack of bias in the app store approval process, app development has become a key route by which women and young people across Europe can develop tech skills and become an integral part of the digital economy.

We note that none of these App Economy jobs existed 15 years ago, when Apple first opened the App Store on July 10, 2008, in the middle of the global financial crisis. Android Market (which later became Google Play) was announced by Google shortly after. These app stores created a new route through which software developers could write programs for smartphones. These mobile applications — called “apps” — could then be distributed to the rapidly growing number of smartphone users around the world.

The jobs generated by the app stores became an important part of the recovery from the financial crisis of 2008-2009 and the subsequent economic expansion. When the pandemic hit, the need to conduct life remotely supercharged the use of apps, and resulted in many new App Economy jobs in Europe.

This report describes some important aspects of the EU App Economy. We also examine app-related skills development, compare the female share of information and communications technology professionals in both the EU and the U.S., and give some examples of new opportunities in the App Economy.

READ THE FULL REPORT.

 

PHOTO RELEASE: PPI Highlights Extensive Job Growth Created by App Economy in UK, France, and Germany

2023 marks the 15th anniversary of the creation of the App Economy, which has played a significant role in Europe’s economic growth. The Progressive Policy Institute (PPI) recently released a new series of reports from Dr. Michael Mandel, Vice President and Chief Economist, and Jordan Shapiro, Director of PPI’s Innovation Frontier Project, that outline new job growth estimates created by the App Economy in the United Kingdom, France, and Germany, as well as how the App Economy has provided pathways into the digital workforce for people who come from varied backgrounds.

“The App Economy has helped drive job growth in Europe for the past 15 years,” said Dr. Michael Mandel. “These positive trends seem to be continuing, and it’s important to continue to expand the digital workforce to reflect these new opportunities.”

PPI traveled to London, Paris, and Berlin to talk with federal lawmakers, local app developers, and tech policy experts about their experience working in the App Economy. In London, PPI highlighted new research that found the App Economy is responsible for 667,000 jobs in the United Kingdom as of May 2023, accounting for roughly 20% of the total net gain in U.K. jobs since 2008. Allison McGovern, MP, was the keynote speaker at the event and discussed the importance of creating economic opportunities for the United Kingdom.

In Paris, Prisca Thevenot, MP joined PPI and a panel of policy experts to discuss the digital skills needed to keep up with the growing jobs. PPI found the App Economy created 611,000 jobs in France as of May 2023, accounting for roughly 23% of the total net gain in French jobs since 2008.

PPI hosted an event in Berlin, highlighting new data that shows the App Economy is responsible for 633,000 jobs in Germany as of May 2023, accounting for roughly 13% of the total net gain in German jobs since 2008. Anke Domscheit-Berg, MP spoke on the importance of women in tech, and a panel of local app developers and senior software engineers shared their experiences with the app economy and the opportunities it has created.

As digital jobs continue to grow — like those in the App Economy — so does the demand for new digital skills. But supply for these skilled jobs continues to lag as workforce shortages persist across the tech industry. To address this issue, Taylor Maag, Director of Workforce Policy at the Progressive Policy Institute, released a new report titled “Closing the Digital Skills Gap: Unveiling Insights for Four Countries.” The report outlines the barriers confronting workers who want to acquire skills and examines four European countries’ efforts to address the digital skills divide.

Dr. Mandel released his first App Economy employment estimate for the United States in February 2012. Since then, PPI has become the leader in tracking App Economy job growth around the world, highlighting the economic importance of app-related jobs specifically and tech jobs more generally, along with the need to close the digital skill divide. Learn more about some of PPI’s recent work on the App Economy here.

The Progressive Policy Institute (PPI) is a catalyst for policy innovation and political reform based in Washington, D.C., with offices in Brussels, Berlin and the United Kingdom. Its mission is to create radically pragmatic ideas for moving America beyond ideological and partisan deadlock. Learn more about PPI by visiting progressivepolicy.org.

Follow the Progressive Policy Institute.

Find an expert at PPI.

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Media Contact: Amelia Fox, afox@ppionline.org

The 15th Anniversary of the App Economy: 633,000 Jobs Created in Germany

2023 marks the 15th anniversary of the creation of the App Economy, which has played a significant role in Germany’s economic growth. Today, the Progressive Policy Institute (PPI) released a new report “The German App Economy: 2023” finding that the App Economy is responsible for 633,000 jobs in Germany as of May 2023. That accounts for roughly 13% of the total net gain in German jobs since 2008, when the Apple App Store and the Android Market, precursor to Google Play, first opened.

Report authors Michael Mandel, Vice President and Chief Economist, and Jordan Shapiro, Director of the Innovation Frontier Project, outline the new estimates of the job growth created by the App Economy, as well as how the App Economy has provided a route into the digital workforce for people who come from varied backgrounds.

“The App Economy has helped drive job growth in Germany for the past 15 years,” said Dr. Michael Mandel. “These positive trends seem to be continuing and it’s important to continue to expand the digital workforce to reflect these new opportunities.”

As digital jobs continue to grow, so does the demand for new digital skills. But supply for these skilled jobs continues to lag as workforce shortages persist across the tech industry. To address this issue, Taylor Maag, Director of Workforce Policy at the Progressive Policy Institute, released a new report titled Closing the Digital Skills Gap: Unveiling Insights for Four Countries. The report outlines the barriers confronting workers who want to acquire skills and examines four countries’ efforts to address the digital skill divide.

By the numbers:

●  633,000 jobs in the German App Economy, up 38% since 2019

●  Across Europe and the U.S., job requirements for digital skills have increased by 50%.

On Monday evening, PPI and its Mosaic Project will host a panel event with Das Progressive Zentrum and Women Who Code Berlin celebrating the 15th anniversary of the app economy and discussing these new reports.

Read and download the “German App Economy” report here and the “Closing the Digital Skills Gap” report here.

The German App Economy: 2023

INTRODUCTION

It’s no surprise that the German automobile industry has joined the App Economy. As of May 2023, Bertrandt, a leading supplier to the auto industry, was looking for an iOS and Android App Developer in Munich to help conceive and develop next-generation mobile apps and connected car apps. Meanwhile, MBition, a Berlin-based subsidiary of the Mercedes-Benz Group, was looking for a Test Engineer for Mobile Apps Testing to help deliver the next generation of in-car infotainment software.

But the Germany App Economy is not just about automobiles. Blinkist, an app that finds impactful books and distills them down to their key ideas, was looking for a Senior iOS Engineer and an Android developer in Berlin. From manufacturing to books to health and everything between, the German App Economy includes 633,000 jobs. That’s according to the Progressive Policy Institute’s latest estimate, and it’s up 38% from our pre-pandemic 2019 estimate.

None of these jobs existed 15 years ago, when Apple first opened the App Store on July 10, 2008, in the middle of the global financial crisis. Android Market (which later became Google Play) was announced by Google shortly after. These app stores created a new route through which software developers could write programs for smartphones. These mobile applications — called “apps” — could then be distributed to the rapidly growing number of smartphone users around the world.

The jobs generated by the app stores became an important part of the recovery from the financial crisis of 2008-2009, the subsequent economic expansion, and the response to the pandemic. More than that, app development and the app stores became a key route by which young people can develop tech skills and became an integral part of the digital economy.

This report describes some important aspects of the German App Economy. We also give some examples of App Economy jobs and skills development.

Read the report in English and in German

The 15th Anniversary of the App Economy: 611,000 Jobs Created in France

2023 marks the 15th anniversary of the creation of the App Economy, which has played a significant role in France’s economic growth. Today, the Progressive Policy Institute (PPI) released a new report The French App Economy: 2023 finding that the App Economy is responsible for 611,000 jobs in France as of May 2023. That accounts for roughly 23% of the total net gain in French jobs since 2008, when the Apple App Store and the Android Market, precursor to Google Play, first opened.

Report authors Michael Mandel, Vice President and Chief Economist, and Jordan Shapiro, Director of the Innovation Frontier Project, outline the new estimates of the job growth created by the App Economy, as well as how the App Economy has provided a route into the digital workforce for people who come from varied backgrounds.

“The App Economy has helped drive job growth in France for the past 15 years,” said Dr. Michael Mandel. “These positive trends seem to be continuing and it’s important to continue to expand the digital workforce to reflect these new opportunities.”

As digital jobs continue to grow, so does the demand for new digital skills. But supply for these skilled jobs continues to lag as workforce shortages persist across the tech industry. To address this issue, Taylor Maag, Director of Workforce Policy at the Progressive Policy Institute, released a new report titled Closing the Digital Skills Gap: Unveiling Insights for Four Countries. The report outlines the barriers confronting workers who want to acquire skills and examines four countries’ efforts to address the digital skill divide.

By the numbers:

●  611,000 jobs in the French App Economy, up 41% since 2019

●  Across Europe and the U.S., job requirements for digital skills have increased by 50%.

On Thursday evening, PPI and its Mosaic Project will host a panel event celebrating the 15th anniversary of the app economy and discussing these new reports. Prisca Thevenot, MP, will give the keynote address to discuss the importance of digital skills in the workforce.

Read and download the “French App Economy” report here and the “Closing the Digital Skills Gap” report here.

The French App Economy: 2023

INTRODUCTION

One of the hottest social media apps these days is Paris-based BeReal. Released in 2020, BeReal encourages users to share a photo of themselves and their immediate surroundings at a random time every day.

BeReal is more than a fun app: It’s also part of France’s dynamic App Economy, which is helping to drive the country’s job growth and the development of core IT skills. For example, as of May 2023, BeReal was looking to hire a QA Engineer to create automated testing for the company’s iOS and Android apps.

But the French App Economy is not just light-hearted entertainment. The Directorate General for Armaments (DGA), a directorate of the French Ministry of the Armed Forces, was advertising for an “Ingénieur développeur iOS ou Android cybersécurité.” Indeed, such cybersecurity skills are essential to every part of the modern economy.

From social media to defense and health and manufacturing, and everything in between, the French App Economy includes 611,000 jobs. That’s according to the Progressive Policy Institute’s latest estimate, and it’s up 41% from our pre-pandemic 2019 estimate.

None of these jobs existed 15 years ago, when Apple first opened the App Store on July 10, 2008, in the middle of the global financial crisis. Android Market (which later became Google Play) was announced by Google shortly after. These app stores created a new route through which software developers could write programs for smartphones. These mobile applications — called “apps” — could then be distributed to the rapidly growing number of smartphone users around the world.

The jobs generated by the app stores became an important part of the recovery from the financial crisis of 2008-2009, the subsequent economic expansion, and the response to the pandemic. More than that, app development and the app stores became a key route by which young people can develop tech skills and became an integral part of the digital economy.

This report describes some important aspects of the French App Economy. We also give some examples of App Economy jobs and skills development.

Read the report in English and in French.

The 15th Anniversary of the App Economy: 667,000 Jobs Created in the UK

2023 marks the 15th anniversary of the creation of the App Economy, which has played a significant role in the United Kingdom’s economic growth. Today, the Progressive Policy Institute (PPI) released a new report The UK App Economy: 2023 finding that the App Economy is responsible for 667,000 jobs in the United Kingdom as of May 2023. That accounts for roughly 20% of the total net gain in U.K. jobs since 2008, when the Apple App Store and the Android Market, precursor to Google Play, first opened.

Report authors Michael Mandel, Vice President and Chief Economist, and Jordan Shapiro, Director of the Innovation Frontier Project, outline the new estimates of the job growth created by the App Economy, as well as how the App Economy has provided a route into the digital workforce for people who come from varied backgrounds.

“The App Economy has helped drive job growth in the United Kingdom for the past 15 years,” said Dr. Michael Mandel. “These positive trends seem to be continuing and it’s important to continue to expand the digital workforce to reflect these new opportunities.”

As digital jobs continue to grow, so does the demand for new digital skills. But supply for these skilled jobs continues to lag as workforce shortages persist across the tech industry. To address this issue, Taylor Maag, Director of Workforce Policy at the Progressive Policy Institute, released a new report titled Closing the Digital Skills Gap: Unveiling Insights for Four Countries.” The report outlines the barriers confronting workers who want to acquire skills and examines four countries’ efforts to address the digital skill divide.

By the numbers:

  • 667,000 jobs in the U.K. App Economy, up 75% since 2019
  • Across Europe and the U.S., job requirements for digital skills have increased by 50%

On Tuesday evening, PPI and its Mosaic Project will host a panel event with the British Computer Society and Women Who Code London, celebrating the 15th anniversary of the app economy and discussing these new reports.

Read and download the “UK App Economy” report here and the “Closing the Digital Skills Gap” report here.

The Progressive Policy Institute (PPI) is a catalyst for policy innovation and political reform based in Washington, D.C., with offices in Brussels, Berlin and the United Kingdom. Its mission is to create radically pragmatic ideas for moving America beyond ideological and partisan deadlock. Learn more about PPI by visiting progressivepolicy.org.

Follow the Progressive Policy Institute.

Find an expert at PPI.

###

Media Contact: Amelia Fox, afox@ppionline.org