“Apple Inc. has constructed a secret team to explore changes to the App Store, including a new strategy for charging developers to have their apps more prominently displayed, according to people familiar with the plans,” Adam Satariano and Alex Webb report for Bloomberg. “Among the ideas being pursued, Apple is considering paid search, a Google-like model in which companies would pay to have their app shown at the top of search results based on what a customer is seeking. For instance, a game developer could pay to have its program shown when somebody looks for ‘football game,’ ‘word puzzle’ or ‘blackjack.'”
“Paid search, which Google turned into a multibillion-dollar business, would give Apple a new way to make money from the App Store,” Satariano and Webb report. “About 100 employees are working on the project, including many engineers from Apple’s advertising group iAd that’s being scaled back, said the people, who asked not to be identified because the plans are private. The effort is being spearheaded by Apple Vice President Todd Teresi, who led iAd.”
“In addition to paid search, the team is trying to improve the way customers browse in the App Store,” Satariano and Webb report. “The attempt to improve search is a sign that Apple knows the App Store has become harder for customers to navigate. First introduced in 2008, the store now has more than 1.5 million apps, with customers downloading more than 100 billion since its debut.”
Read more in the full article here.
MacDailyNews Take: It’s good to see Apple working hard on App Store discovery. If instituted, paid search is likely to be a boon for both Apple and deep-pocketed developers.
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Apple’s Chomp sheds Android compatibility – April 27, 2012
How Apple’s acquisition of Chomp could improve the App Store – February 25, 2012
Apple buys app search startup Chomp for $50 million – February 24, 2012