AI Apps Outspent Mobile Games in 2025 for First Time Ever
For the first time in history, global consumers spent more on non-gaming mobile apps than on mobile games in 2025—and artificial intelligence was the driving force behind this seismic shift. According to Sensor Tower’s latest “State of Mobile” report, worldwide app revenue hit $85 billion last year, a 21% increase from 2024 and nearly triple the amount spent just five years ago. Crucially, generative AI apps alone generated over $5 billion in in-app purchase revenue, more than tripling their 2024 haul. This milestone marks a turning point in how people use smartphones—not just to play, but to create, work, and think with AI.
Credit: Robert Way/ Getty ImagesGenerative AI Apps Tripled Revenue in Just One Year
The numbers are staggering: generative AI apps pulled in over $5 billion in consumer spending in 2025, up from roughly $1.6 billion in 2024. That explosive growth wasn’t just about new users—it was fueled by deepening engagement from existing ones. People didn’t just download these apps; they used them relentlessly. In total, users spent 48 billion hours inside generative AI applications last year—3.6 times more than in 2024 and a full 10x jump from 2023.
What’s even more telling is session volume: users opened AI apps more than one trillion times in 2025. That metric grew faster than downloads, signaling that once people tried an AI assistant, they kept coming back—often multiple times a day. Whether it was drafting emails, summarizing articles, or generating images, AI became a daily utility rather than a novelty.
ChatGPT, Gemini, and DeepSeek Lead the Pack
When it comes to downloads, the top 10 most-installed apps globally in 2025 were all AI assistants. OpenAI’s ChatGPT dominated the field, raking in an estimated $3.4 billion in in-app purchase revenue alone—making it not just the most popular AI app, but one of the highest-grossing mobile apps of any kind.
Google’s Gemini and China-based DeepSeek followed closely behind, benefiting from aggressive feature rollouts and platform integrations. Together, OpenAI and DeepSeek captured nearly half of all global AI app downloads in 2025, up from just 21% the year before. Meanwhile, Big Tech—including Google, Microsoft, and X (formerly Twitter)—collectively doubled its market share, growing from 14% to nearly 30% of downloads as they raced to catch up with OpenAI’s early lead.
Big Tech Doubles Down on AI Assistant Capabilities
The competition heated up fast in 2025. Google launched its Nano Banana image-generation model, while OpenAI unveiled GPT-4o with real-time multimodal reasoning and image creation in March. Microsoft integrated Copilot deeper into Windows and Android, and X pushed Grok-3 with enhanced task automation.
These weren’t incremental updates—they were strategic plays to embed AI into everyday workflows. Features like coding assistance, document summarization, voice-to-text reasoning, and even video generation transformed AI assistants from chatbots into productivity powerhouses. Users responded by spending more time—and more money—inside these apps, often subscribing to premium tiers for faster responses, higher usage limits, or exclusive features.
Why Consumers Are Paying More for AI Than Games
For over a decade, mobile gaming ruled the revenue charts. Titles like Honor of Kings, Genshin Impact, and Candy Crush consistently topped earnings reports thanks to in-app purchases for skins, boosts, and virtual items. But in 2025, the value proposition shifted.
Gamers buy for entertainment; AI users pay for utility. A $10 monthly subscription to ChatGPT Plus isn’t just a convenience—it’s a tool that saves hours of work, aids learning, or sparks creativity. As remote work, digital content creation, and personal productivity became increasingly intertwined with mobile use, AI assistants filled a gap that games never could.
Moreover, the barrier to monetization lowered. While games rely on complex psychological triggers to drive spending, AI apps offer clear, immediate benefits: faster answers, better writing, smarter planning. That transparency builds trust—and willingness to pay.
The Rise of the “Daily AI Habit”
Perhaps the most significant trend isn’t the revenue itself, but how AI has become habitual. The trillion-plus sessions in 2025 reveal a behavioral shift: people now check their AI assistant like they check email or messages. It’s part of their morning routine, their workflow, their creative process.
This stickiness is what investors and developers are betting on. Unlike viral games that fade after a few months, AI apps are designed for long-term retention. With continuous updates, personalized experiences, and expanding capabilities—from travel planning to legal research—they’re evolving into indispensable digital companions.
What This Means for the Future of Mobile Apps
The 2025 data suggests we’re entering a post-gaming era of mobile dominance. While games will remain culturally and financially relevant, the center of gravity is shifting toward intelligent, interactive tools. App stores may soon prioritize AI-powered utilities in their featured sections, and developers without an AI strategy could find themselves left behind.
For consumers, this means more powerful, personalized experiences—but also more subscription fatigue. As every major tech company pushes its own AI assistant, users may face a fragmented landscape where they’re juggling multiple subscriptions for overlapping features. The winners will be those who deliver seamless integration, cross-platform access, and genuine time-saving value.
AI Isn’t Just Trending—It’s Transforming Mobile Behavior
The fact that AI apps outspent mobile games globally in 2025 isn’t just a headline—it’s a cultural inflection point. It signals that smartphones are no longer just communication or entertainment devices; they’re becoming cognitive extensions of ourselves. And with Big Tech pouring billions into making AI faster, smarter, and more intuitive, this trend is only accelerating.
As we move into 2026, expect even fiercer competition, deeper integrations with operating systems, and new monetization models beyond subscriptions—think usage-based pricing or enterprise-tier features for pro users. One thing is clear: the age of AI-first mobile computing has officially begun. And consumers are voting with their wallets.
