Thursday, February 12, 2009

Android Phones Coming Soon with Paid Applications

One of the biggest areas where the HTC G1 phone on T-Mobile's network lags Apple iPhone is the app store.

So far, the Android Marketplace allowed only free apps in its online store but that is set to change this week. Google is expected to allow developers to start charging for programs sold through the Android market place, says The Wall Street Journal.

Unlike the iPhone App store that has splits the revenue with the developers, Android allows for third party programmers to keep the profits to themselves. Apple keeps 30 percent of the revenue from apps sold through the iPhone store.

The Android marketplace is also open. Apps do not have to be approved by either the carrier or Google which developed the Android mobile operating system. That is in contrast to Apple's walled garden approach that requires all apps to be scrutinized by the company. iPhone users are billed for paid apps through their iTunes account. It is not clear what kind of payment framework Android will use.

Paid apps should help improve the Android marketplace.