How much would it cost for a company to develop a mobile app? This question has been published dozens of times on the web, and there is rarely a direct answer which would explain it.
The best way to get close to the answer is to try to imagine all possible variables that such calculation would include for creating a movie or a TV show: actors, decorations, equipment, amount of professionals...
So, let's get started to figure out the answer.
Instagram. After the funding round in the 2010 year, Instagram received $500,000. The mobile App managed to reach 1,75 million online users during one year. Till 2012, the company had spent $57,5 million of its funding and as a result turned out to cost a lot more for its future buyer. In 2012, its founder Kevin Systrom successfully sold it for 1 billion dollars to the Facebook company.
Uber. Uber collected $200,000 of seed money during its funding round in the 2009 year. Plus $1,25 million, which this mobile app managed to collect later in the Angel round of funding. Totaly till 2017 Uber collected to $8,71 billion.
Snap.Inc, Snapchat creator. This App has collected $485,000 in the Seed round of investment. As the App became popular, the Snap.Inc gathered additional $2,6 billion during next eight founding rounds.
There are three types of apps: simple (includes 10 business points or less); mid-level (from 10 to 30 business objects) and advanced (hundreds or even thousands of API endpoints). When it comes to App calculation - time and skills are main price factor. The work of top developer costs $150/hour. Less skilled, but still, a solid developer will charge you about $100/hour and a low-end guy - $65/hour.
Simple app requires approximately 100 hours on average of developer's work and 40 of designer's and will cost $9,100 ($65 * 140 hours)
Mid-level app costs from $60,000 to $96,000.
The Advanced app could cost from $100,000 to million and more.