According to Sensor Tower’s new annual report, consumers spent a projected $85 billion on mobile applications in 2025. This is an extraordinary 21% jump over the prior year. Consumers are becoming more strategic in their spending. It’s the first time that they are actually spending more on non-gaming mobile apps than on gaming. The “State of Mobile” report is a window into these shifting trends where app usage and spending is rapidly evolving. This transformation is primarily driven by the rapid adoption of generative AI-based applications.
Although this number was always going to be arbitrary, the report’s authors found that consumers spent an incredible 48 billion hours using generative AI apps in 2025. This figure represents a remarkable upturn. It’s 3.6 times greater than the total hours earned in 2024 and ten times what was earned in 2023. With the rapid adoption of generative AI apps leading the way, mobile app spending has had one of its most explosive growth periods ever. This underlying trend is transforming the way users interact with technology.
From an engagement standpoint, session volume inside generative AI apps exceeded one trillion in 2025. That was a faster growth rate than app downloads overall. This indicates that current users are adopting and using the applications at deeper levels and more rapidly than new users are coming on board. These findings reflect that generative AI is likely a permanent new reality. As a result, it’s radically transforming how users interact with the mobile ecosystem.
Beyond this change, the report highlights the wider changes this portends, as mobile apps have overtaken consumer spending on games. This significant transition is indicative of a broader and accelerating landscape. Global consumers have been captured by the utility and powerful features that non-gaming apps have to offer. The outcome of such enhanced and empowering AI-driven applications is impossible to overstate, representing a revolutionary leap in the stages of mobile app development and consumption.
Sensor Tower’s “State of Mobile” report serves as a crucial resource for industry stakeholders seeking to understand the dynamics of the mobile app market. This annual trends report brings the best overall picture of evolving spending patterns and emerging user engagement trends. Our developers, marketers, and investors would find this information to be indispensable.
Sarah Perez has been writing for TechCrunch since August 2011. She points out the significance of these results in informing future app development efforts. The data doesn’t lie, consumer preferences are clearly shifting today. Perhaps more importantly, it highlights potential areas for innovation and growth in the mobile app industry.