App Store

The App Store is an application for the iPhone and iPod touch created by Apple Inc., which allows users to browse and download applications that were developed with the iPhone SDK. They are available to purchase or free, depending on the application. The applications are downloaded directly to iPhone or iPod touch. Whilst Apple has stated that they do not expect to profit from the store, it has been predicted by Piper Jaffray that the App Store could create a profitable marketplace with revenue exceeding US$ 1 billion dollars annually for the company. The App Store opened early in the morning on July 10, 2008 via an update to iTunes. Applications were immediately available for download at that time. However, iPhone and iPod touch software version 2.0 was not yet available through Software Update, making the applications unusable. The iPhone software version 2.0 was released on July 11, 2008, and applications were able to be transferred onto the newly updated devices.

SDK
The Software Development Kit for iPhone and iPod touch was announced at the iPhone Software Roadmap event on March 6, 2008. The SDK will allow developers (running Mac OS X 10.5 or higher) to create applications, using Xcode, which will natively run on both the iPhone and iPod touch. A Beta version was released after the event, and a final version will be released in July alongside the iPhone 3G, due to be released July 11. Applications that developers create will be sold exclusively through the iTunes Store on Mac and Windows, or on the App Store on the iPhone and iPod touch. Developers will get 70% of sales and will not have to pay any distribution costs for their application other than a US$99 fee to use the SDK on the iPhone and upload applications to the store.

Demonstrated applications
Several applications were demonstrated at the iPhone Software Roadmap event on March 6, 2008. These included:

Several other applications were demonstrated at WWDC 2008 in the keynote presentation. These included:

Number of launched applications
On July 10, 2008, Apple CEO Steve Jobs told USA TODAY that the App Store contains 500 third-party applications for the iPhone and the iPod touch, 125 of which are free downloads. These third party applications range from business to game applications, entertainment to educational applications, and many more applications which can either be downloaded for free or can be bought for a specific amount to use the application. As of July 11, 2008, users may buy applications from the App Store, and transfer them to an iPod touch or iPhone which has the iPhone 2.0 software update, which became available through iTunes on the same day.