the iPadHole

As you’ve no doubt already noticed, most app prices for the iPhone seem to be around the $3 mark, but as this report shows, iPad apps are apparently costing more, with an average of $4.67.

It’s only natural that applications for the iPad be more expensive than those for the iPhone, due to the work involved, but the difference in price is lower than what Apple had originally intended, since they priced iPad apps at $9.99.

This means that, while developers are still getting more money by developing and selling apps for the iPad as opposed to the iPhone, the difference in price is too low to make the extra work and effort worth it.

Developers are the ones that will have to choose what is more profitable to them, and they’re free to price their apps as they see fit. iPad apps also have the advantage of being 80% paid, as opposed to 73% paid for the iPhone.

Medical and financial apps for the iPad though are much more expensive than their iPhone counterparts, with the average medical app costing $42.11, while the average financial app costs $18.48. That is much more than $10.74 and $5.74, as the iPhone counterparts are costing.

It’s clear that in some areas the extra work is worth it, as the money received per app sold is much higher than for an iPhone app, but it’s still uncertain as to what will happen to the apps that have lower prices, and what decision each developer will make.

Only time will tell, so keep an eye on the app store and watch as the prices increase, or decrease, as the market changes!