Crazy about the iPhone
Thursday, June 12 2008
Those wacky VCs are at it again, and this time they're high on the iPhone. As Om Malik wrote yesterday, iPhone startups are all the rage on Sand Hill Road, with Kleiner's $100 million iFund surely to be followed by other private equity heavyweights. Given the iPhone hype, cult of Mac, and numerous other gut-feel indicators, this all makes sense, except for one minor problem...according to a survey of developers attending Apple's Worldwide Developers Conference conducted by Piper Jaffray analyst Gene Munster, "We found the average cost of iPhone apps on the App Store to be $2.29, with 71% being free." Oops.
