App Development Generates $436M for Maryland's Economy

A recent study commissioned by the Application Developers Alliance shows that the state of Maryland is a leader in the app economy, with 8,400 application development jobs producing an economic impact of $436 million.

Maryland ranks as one of the nation’s app industry leaders, according to a study released today by CTIA-The Wireless Association in conjunction with the Application Developers Alliance.

The research, conducted by South Mountain Economics and entitled “The Geography of the App Economy,” found that application development is responsible for 8,400 jobs in Maryland, with an economic impact of $436 million. That makes Maryland the 15th most app-intense state in the country, according to the alliance.

The study also found that Maryland, with its proximity to the Washington, D.C., Beltway, benefits from app development specifically related to the government and military sectors. In addition, Maryland is home to a number of startups, such as Apkudo, an Android device and app analytics company based in Baltimore.

“This is a great time to be in the apps industry and a great time to be creating jobs in Maryland,” said Josh Matthews, CEO and co-founder of Apkudo and board member of the Application Developers Alliance, in a statement. “As this research indicates, our industry has become robust and diverse, and the growth we are experiencing is only going to continue."

Nationwide, the app economy has produced 519,000 jobs, according to the study. Developers and related personnel are being hired by companies large and small, from major tech companies to startups and from government agencies to universities, the study said. Moreover, the research found that the app industry is contributing to the economies of every state.

“The app industry is a borderless economic force, providing opportunity across the country--even in places we might not expect,” said Jon Potter, president of the Application Developers Alliance, in a statement. “In a challenging economic environment, the app industry has created more than a half million jobs in the five years since Apple’s iPhone launched. This new industry is propelling innovation and jobs in urban centers and rural states. And this is just the beginning.”

Potter said the new research builds on a February 2012 study completed by South Mountain Economics that measured the total number of app jobs nationwide. Delving deeper with this study, researchers examined help wanted ads across the U.S. to measure the number of app jobs in each state, the states’ “app intensity,” and the economic impact of the apps industry. While traditionally tech-heavy states such as Washington and California topped the list for app intensity, states with burgeoning tech sectors, including Maryland, were highly ranked, the study showed.