Global and Indian mobile app market trends

In the second quarter of 2026, the mobile app economy experienced significant shifts, particularly driven by non-gaming applications and generative AI.

In the Indian market, in-app purchase revenue reached a record $345 million, representing a 35% year-on-year increase. While download numbers remained steady, non-gaming apps accounted for approximately 70% of downloads and nearly $240 million in revenue. Key drivers included generative AI, entertainment platforms like Story TV, and e-commerce apps such as Meesho. Analysts noted that the adoption of digital payments and a higher willingness to pay for premium services contributed to this growth.

On a global scale, non-gaming mobile applications have overtaken gaming as the primary driver of the mobile app economy. During Q2 2026, non-gaming apps generated $24.4 billion in revenue, a 14.6% year-over-year increase, while gaming revenue declined by 4.5% to $19.2 billion. Generative AI served as a major catalyst, with category spending surging by 108% year-over-year. ChatGPT remained a dominant force, capturing roughly 60% of the category's revenue. Geographically, India led the world in download volume with 6.67 billion installations, while the United States remained the largest market for in-app purchases despite a slight annual decline.