"Apple (AAPL) announced today that its iPhone app store now includes 50,000 applications, vastly more than rival next-gen platforms like Google's (GOOG) Android or Palm's (PALM) new webOS, which has just 18 apps.
Why does this matter? Because the smartphone business is becoming a platform game. More and more, when people buy phones, they are investing in mobile software, app quantity, and app quality. The more apps the iPhone has, therefore, the more valuable to users the iPhone becomes."
This picture tells it all.
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