While Apple founder Steve Jobs continues to assert in a recently interview with the Wall Street Journal that his company doesn’t expect huge profits from its popular iTunes store, he does admit that they have sold $30 million worth of applications for the iPhone 3G in the first month of availability.
While only 30 percent of that money stays with Apple, it is just one small part of the massive business that is the iTunes Store. According to the New York Times‘ Bits Blog, “Here’s what the iTunes store has: margins that are better than the best e-commerce companies around; no marketing costs and a built in audience; Sales of nearly $3 billion a year in its existing business; and a new $1 billion business on the way.”
In the WSJ interview, Jobs admits to being surprised by the runaway success, particularly of the application store. He argues that software development for cell phones will only continue, and will be the key to the industry’s future.