Phase 1 in the iPhone App Store was the initial ramp up and the very first applications – this didn’t take long to work through, only a matter of weeks. Applications were sensibly priced. Serious app? Call it $15 or so, commensurate with the work taken to create it.

Then we had 6 months of utter craziness. With applications appearing in their thousands (literally – though 900 of each thousand was complete rubbish), the prevailing wisdom seemed to be that developers had to price their apps at a dollar or so to stand any chance at all of success – anything more expensive and sales wouldn’t be high enough to make it into the top 25/50 table – which, as we all know, is where the real stars live. Read the full story