Apple's App Store Gross Revenue to be $2 Billion in 2011, According to Citibank

When the App Store launched, apps on your smartphone were just a novelty. But as the applications got better, and ultimately more advanced, the money started rolling in. Finding an application for something you need, whether it be a quick way to balance your checkbook, or some game that will keep you entertained on the spot, is one reason why Apple's App Store is so popular, and keeps raking in the money. According to a new report from Citibank, it doesn't look like that momentum is going anywhere, and in fact, will probably pick up in 2011.

Citibank's U.S. Internet Stock 2011 Playbook has an estimation that the App Store from Apple, where some of the most popular applications can be found, will be able to bring in upwards of $2 billion in gross revenue in 2011. However, that number may be low, according to Gartner. The research firm believes that the total global app market in 2010 was $4 billion, and they project that over the next two years, that number could climb all the way up to $27 billion.

Despite the fact that Citibank believes that smartphone growth will actually slow in 2011, that's not going to stop people from buying more and more applications.

[via BGR]