Indonesia’s booming app economy: Google Play has helped Indonesian developers earn IDR 2.14 trillion in 2023

Indonesia’s booming app economy: Google Play has helped Indonesian developers earn IDR 2.14 trillion in 2023

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Indonesia, the world’s fourth most populous nation, is experiencing a mobile revolution. With a rapidly growing Internet user base exceeding 210 million, Indonesia presents a fertile ground for app development and usage.

In the app economy, Indonesian app developers are showcasing their creativity and technical skills, developing apps that captivate users both locally and globally. In 2023, Indonesian developers introduced over 7,100 new mobile apps and games (6,610 apps and 490 games), with more than 60 leveraging AI technology.[1]

Central to this thriving ecosystem is Google Play, which empowers developers to turn their innovative ideas into global successes while enriching consumers by offering a diverse and safe selection of apps.

Showcasing Indonesia innovation

Indonesian developers are renowned for their creativity and ability to adapt to local needs. Prominent names like GoTo, which developed popular ride-hailing services app like Gojek, have evolved to create a super-app offering services from food delivery to digital payments, amassing millions of downloads across Southeast Asia.

Beyond these giants, innovative startups are making significant strides. Ruangguru, an online learning platform, has become a household name by leveraging AI to personalize education for students. Meanwhile, Halodoc is transforming healthcare access by providing telemedicine services supported by AI-driven diagnostics and user-friendly interfaces.

Google Play: Empowering developers with cutting-edge tools

The rapid success of Indonesian apps is only possible with strong support systems. Modern app distribution platforms like Google Play have become invaluable tools for developers, offering instant access to billions of Android users globally.

But Google Play offers developers more than simple exposure, providing a range of tools and resources to support them throughout their app development journey. These resources include beta testing, performance customization, app store listing optimization, and data analytics through developer tools, all aimed at helping developers grow their apps.

Beyond these cutting-edge tools, Google has introduced AI-powered tools like Gemma and Gemini in Android Studio to assist developers to bring their ideas to life and build successful businesses.

Taking Indonesian innovation to the world

Indonesia has emerged as a rapidly growing hub for mobile innovation, boasting the 12th largest developer community on Google Play, with over 10,400 active developers maintaining 33,800 live apps.[2] This dynamic community is a significant economic force, supporting an estimated 197,000 direct, indirect and spillover jobs.[3] Furthermore, Google Play fosters opportunities across various app verticals, from e-commerce to food delivery, contributing to a thriving freelance economy.

Indonesian apps are not just captivating locals – they are making waves internationally. Nearly 30% of Indonesian developers have international presence, with key markets like India, Egypt, and the Philippines embracing Indonesian ingenuity.[4]

In 2023, Indonesian developers earned an estimated IDR 2.14 trillion through Google Play.[5] Notably, IDR 682 billion of this revenue came from overseas users.[6] As a result, the vibrant landscape in Indonesia has enabled developers to capture around 1.2% of worldwide app downloads through Google Play in 2023.[7]  This highlights the power of Google Play to facilitate international expansion and drive economic growth for Indonesian developers.

Supporting developers to innovate and succeed

Google’s dedication goes beyond offering a platform. It empowers developers to focus on creating groundbreaking apps by providing:

  • Free access to Android’s core features: Developers gain free access to Android’s source code and compatibility standards, ensuring their creations seamlessly function across devices. This eliminates compatibility concerns, allowing for greater innovation.
  • Sustainable support model: Google Play’s business model prioritizes developer success. While there is a service fee for paid apps and in-app purchases, a vast majority (97%) of developers enjoy free distribution and use of Google Play’s robust developer tools and services.
  • Investing in the future: Programs like the Google Play x Unity partnership, Play Academy Study Jam, and Indie Games Accelerator provide training and mentorship for aspiring developers and students in Indonesia. These programs help to achieve the recent presidential regulation goal of boosting local game developer’s capacity by fostering a skilled talent pool and encouraging innovation.

Building a secure and engaging environment for users

Google’s commitment extends beyond developers to enrich consumer experiences.

Google Play’s vast catalogue caters to diverse interests and needs, offering everything from productivity tools to entertainment options.

To safeguard users, Google Play Protect rigorously screens over 200 billion apps daily for malware, keeping the platform and devices safe. Later this year, Google Play Protect will use on-device AI to detect apps that might engage in fraud or phishing. Android’s safety features also extend to the physical world, with 99% of Android devices equipped with an emergency location service.

The future of Indonesia’s app ecosystem

The success stories of GoTo, Ruangguru, Halodoc, and many other developers offer a glimpse into the vibrant future of Indonesia’s app ecosystem. With a supportive environment, Indonesian app developers are poised to continue leading the charge in innovation. They will push boundaries, create apps that delight users, and empower people both locally and globally.

Important information:
This post has been prepared by Access Partnership for Google. All information in this post is derived or estimated by Access Partnership analysis using both non-Google proprietary and publicly available information. Google has not supplied any additional data, nor does it endorse any estimates made in this post. Where information has been obtained from third-party sources and proprietary research or from Access Partnership’s own modelling, this is clearly referenced in the hyperlinks and footnotes.

 

[1] AppFigures estimates.
[2] AppFigures estimates.
[3] Access Partnership estimates.
[4] Access Partnership estimates.
[5] Access Partnership estimates.
[6] Access Partnership estimates.
[7] Access Partnership estimates.

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