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Edition: U.S. Article Comments (1) Email Print Reprints Read Wikileaks' Assange in UK, police know where: report 01 Dec 2010 Amazon stops hosting WikiLeaks website 01 Dec 2010 Elizabeth Smart storms out of kidnapper's trial 01 Dec 2010 Top U.S. military officer presses China over North Korea 01 Dec 2010 Elizabeth Smart storms out of kidnapper's trial 01 Dec 2010 Discussed 71 Saudi king urged U.S. to attack Iran: WikiLeaks 64 South Korea names security adviser as defense minister 64 Obama to propose two-year federal worker pay freeze Watched Bejeweled bra exposed in NY Thu, Oct 21 2010 Row over vote orgasm video Fri, Nov 19 2010 World reacts to WikiLeaks release Mon, Nov 29 2010 Analyst Research Report Title Price Disney (Walt) Co Provider: Standard & Poor's STARS Report $35.0 Buy Trading Report for (DIS). A detailed report, including free correlated market analysis, and updates. Provider: Stock Traders Daily $18.0 Buy DIS: Risk/Reward Rating: Full Report: Cash Truth Behind the Reported Earnings Provider: New Constructs, LLC $25.0 Buy Wright Investors Service Comprehensive Report for Walt Disney Company (The) Provider: Wright Reports $65.0 Buy Entertainment & Media Industry Market Research and Competitive Analysis 2010 Provider: Plunkett Research, Ltd. $299.0 Buy NYSE and AMEX quotes delayed by at least 20 minutes. NASDAQ delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here. Special Report How BP's oil spill costs could double The energy company's recent better-than-expected earnings gave investors hope it had turned a corner, but BP may be underestimating the final costs of the massive Gulf oil cleanup. Full Article More Green Business headlines Media companies look beyond today's App stores Tweet This Share on LinkedIn Share on Facebook By Sinead Carew NEW YORK (Reuters) - Apple Inc's creation of a mobile application store two years ago set off a frenzy of software development -- in short order consumers could download apps for everything from high finance to burping... Related News Netflix scrambles future of TV and films Wed, Dec 1 2010 Take-Two sees opportunity in digital Wed, Dec 1 2010 UPDATE 1-RIM launches patent suit against startup Kik Wed, Dec 1 2010 Reuters Summit-Take-Two sees opportunity in digital Wed, Dec 1 2010 NYT looks to WeightWatchers for Internet tips Tue, Nov 30 2010 Related Topics Technology » Media » Stocks Employees applaud customers, the first out of hundreds who queued to enter Apple's first store in Spain, during the opening of the store in Barcelona September 4, 2010. Credit: Reuters/Gustau Nacarino By Sinead Carew NEW YORK | Wed Dec 1, 2010 5:21pm EST NEW YORK (Reuters) - Apple Inc's creation of a mobile application store two years ago set off a frenzy of software development -- in short order consumers could download apps for everything from high finance to burping sounds. Today, the top application stores, those run by Apple and Google Inc, are in jeopardy of becoming victims of their own success. So many apps exist that the stores can feel overwhelming, turning into flea markets that confuse shoppers and frustrate merchants hoping to stand out. For companies that invested heavily to develop branded apps, the trick is to find a way to be discovered more easily and keep users in their world longer. "The apps stores are disorganized and chaotic," Strauss Zelnick, chairman of Take-Two Interactive, said at the Reuters Global Media Summit on Wednesday. "It's a very unusual place for intellectual property to be distributed, because something that's No. 1 doesn't remain No. 1 for very long," said Zelnick, whose company is behind the hit video game "Grand Theft Auto" and has created several top-rated apps for Apple's iPhone. "Compare that to, say, the best-seller list at a bookstore, where something will remain a best-seller for 10 weeks." Anne Sweeney, Walt Disney Co's TV chief, expressed similar frustration with the world of apps. "The biggest struggle with the apps stores is that there are just so many apps," she said at the Summit. STANDING OUT FROM THE PACK The strategies for standing out from the pack are as diverse as the apps themselves. One way being studied is an option that pre-dates app stores. It involves forging a deal with a phone maker or operator so your offering is displayed more prominently, say on the home screen of the phone rather than in the app store. Facebook is believed to be looking at something like this with start-up phone maker INQ, a unit of Hutchison Whampoa. The social network company indicated it is working on projects that would integrate its hugely popular service more tightly with cellphones' operating systems. On the carrier side, Sprint Nextel has launched a service called Sprint ID that lets consumers download packages of apps related to their hobby, be it sports or gossip, or packs from media firms like Disney or Yahoo Inc. David Katz, Yahoo's vice president for mobile, said packaging apps together raises the odds of discovering news, entertainment or games that would otherwise be lost in the crowd. "We're going to experiment with every mechanism we can to make sure that folks get our stuff," Katz said in a recent interview. "The more Yahoo stuff we can get users to consume, the more money we make." Another idea is to put apps in specific categories into separate stores, said Tina Unterlaender, mobile account director at AKQA, which builds apps for clients like Nike Inc. "What I would think could happen would be that there will be more specialized app stores. There might be an app store that's focused on, say, fitness or business," she said. 1 2 Next Technology Media We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language, all capital letters or appear to be spam, and we review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. Comments (1) simonpapineau wrote: The problem is that if you allow companies to pay for visibility on the app stores, you instantly create a barrier to entry which will crush the dreams of tens of thousands of independent developers, who joined the App Store gold rush precisely because of the ease of distribution. Apple’s modo is “There’s an app for that.” If independent developers are placed in a situation where it’s impossible to compete with the big names of the industry, there will be much less “apps for that.” Apple and Google have the big end of the stick. This isn’t a new situation by any means – prior to Google and Apple controlling distribution of mobile apps & games, mobile network operators had the control via their portals. Back then, big publishers were able to purchase visibility in the carriers’ app stores. Distribution deals with carriers were hard to come by. Independent developers were forced to distribute their apps via aggregators, who demanded an extra % of the profits on top of the % that carriers demanded. The revolution brought by Apple’s App Store two years ago wasn’t the creation of the platform itself – it was the democratization of the distribution channel. Now we’re only dealing with the consequences. Simon Papineau Mobile strategist @ we+are interactive http://www.simonpapineau.com Dec 01, 2010 7:07pm EST -- Report as abuse See All Comments » Add Your Comment Social Stream (What's this?) © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Reader Feedback Mobile Newsletters RSS Podcasts Widgets Your View Analyst Research Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week FindLaw Reuters on Facebook Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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