11 March 2025
Ah 2025! It’s the year we still don’t have flying cars, but we have high spec smartphones with apps that can match you with the right date and answer why your tap is leaking at 3 AM in the morning.
If you’re thinking about developing that cool mobile app this year, the question in your head is “how much is this going to cost me?”
Let’s discuss the complexities of mobile app development costs, before you burn your entire budget on a MVP that doesn’t let users log-in.
The straight forward and short answer to this is … No! You Can’t.
Modern age apps require careful user experience research, a defined design system, expert front-end & back-end development, multi-faceted QA testing, and maintenance. If someone’s offering to build your app for $500, you might end up with a pencil sketch that literally spells out your app name.
Over 8.93 million apps are available on Google Play, Apple, and various other app stores in 2025, but the interesting fact is that only 0.5% of every 10,000 consumer apps and 3% of Business apps ever survive. Multiple sources quote that underfunding is one of the leading reasons that 9,995 consumer apps out of 10,000 fail to survive after three months.
A professional mobile app requires careful concept development, project planning and at times analytical market research to ensure the idea is viable before going into development. If the cost of app development would be equal to a fancy dinner, then there would be billions of them each earning gazillions of dollars.
So whatever that well dressed YouTuber said about the $500 app, it’s not very accurate.
The cost of developing an app in 2025 depends on multiple factors that include its complexity, features, the team you hire, and the post-launch services you will require. Below is the breakdown with a general range of mobile app development costs we offer at MyTeams:
By simple app we mean one with basic features like Google or Facebook login integration, a minimal UI (user interface), and only essential functionality. These apps are a great prospect for startups that are looking to launch an MVP (minimum viable product). Good examples of such apps are to-do-list apps, calculator apps, sticky notes, etc.
The cost of developing simple apps escalates as more features, complex functionality, high fidelity design aesthetics, and ongoing maintenance is added to the project. Consider adding scientific calculation features to a basic calculator, the ability to perform metric & currency conversions, or adding a tax calculator to write up your annual tax return.
A mid range app is a considerable upgrade with more custom features, additional 3rd party integrations, a refined design, and fewer bugs & errors … oh yes, there are going to be a whole lot of bugs.
Ever had a go with the Amazon Shopping mobile app? If you have, there is a reason the cost of developing an app like Amazon goes well above $500,000. From complex payment integrations to diverse sign-in options and synchronization with Amazon’s complex supply chain, the app is an ecommerce powerhouse focused on its users.
High end enterprise mobile apps are complex, feature rich solutions developed to meet the dynamic needs of large scale businesses that have vast customer bases. Enterprise applications are integrated with advanced tech to deliver high performance services with top tier security.
Latest enterprise level apps are incorporated with AI to enable features like personalized user experiences, predictive analytics, and intelligent automation. One of the most popular AI features are chatbots that provide support and troubleshooting without human assistance. Other features include real time tracking for logistics businesses, complex APIs for payments, Blockchain enhancements, and augmented reality tech to provide more immersive user experiences.
Salesforce is by far one of the most comprehensive enterprise level CRM apps powered by AI analytics, extensive API integrations, and robust security features. The cost of developing enterprise level applications requires significant investment. Due to their complexity and integrated technologies, the average cost of developing an enterprise app can range between $150,000 to over $500,000.
As we discussed earlier, the more complex app functionality and the more features it offers, the pricier it will be. A simpler app with basic features that can track your steps will cost less than an app like Strava which has a diversity of features.
Developing for more platforms equals more the cost of developing an app, but this can vary by the technology you select.
If you develop your app with Swift, it will cost more and work only across the native iOS platform. React Native on the other hand has been one of the most popular frameworks businesses are choosing to create near native cross platform apps that work on both iOS and Android.
Our project management team identifies that a native iOS or Android app developed separately can cost from $50,000–$200,000 individually. The need for specialist expertise, more complex coding, and future maintenance escalate native app cost. Comparatively, a cross platform app costs a fraction ranging between $45,000 to $175,000, plus it works across both platforms, and can also be made available in browsers with React for Web.
A great design will cost more, but it will increase engagement and keep you customers immersed, especially if you deliver great content & offers. Basic UI can cost between $4500 to $14000, while a complex interface can range in the region of $15,000 to $45,000. A great interface can increase conversions while a bad one can cause almost 55% users to abandon the app.
Costs significantly vary on the infrastructure of your app that includes the storage, 3rd party integrations, and data security measures. For instance, cloud hosting will allow scalability but carries recurring fees, while an on-premises server will cost more.
Using premium 3rd party integrations like Stripe, AI chatbots, CRM tools, etc. also add to app development costs. Part of the app backend may also require compliance if developing the app for EU or certain US markets like California. Backend development can cost anywhere from $10,000 to $150,000.
Depending on who you hire to develop your app makes the biggest difference to your app development costs. There are generally three options available including hiring a freelancer, hiring a mobile app development company, or hiring a dedicated in-house team.
Type of Developer | Hourly Rate | Estimated Total Cost |
Freelancers | $20–$100 | $10,000–$80,000 |
Small Agencies | $50–$150 | $30,000–$150,000 |
Large Agencies | $100–$250 | $100,000–$500,000 |
In-House Team | $80,000+/yr per developer | $250,000+ per year |
Hiring freelancers is a great way to minimize the cost of developing an app, however there are other issues that you need to be aware of. Here is an interesting reddit thread that summarizes all the issues associated with hiring a freelancer (enjoy with a cup of coffee) :
An in-house team of developers is also a great way to streamline your project, however if you’re on a limited budget this might not be the ideal path to take.
That leaves hiring an app development company as the ideal choice. Depending on the size and expertise of the service provider the costs of developing an app can be balanced with good communication, collaboration, reporting, and guidance. Hiring an app development company in South Asia or Eastern Europe can cost considerably lower (up to 50%) compared to hiring one in Western Europe and the United States.
Mobile app development is an ongoing investment, and it doesn’t end with your app launch. Product maintenance is essential and it continuously drives your app development cost. From bug fixes to server costs and security updates, post launch services will have a direct impact on your budget and app success.
Consider the case of WhatsApp a multi-billion dollar app. Parent company Meta spends millions annually on maintaining its infrastructure to provide exceptional experiences to their 2+ billion users.
Developing and launching your app is said to be only half the battle, you need users who will make your app a success. To attract users who will invest in your app through subscriptions or in-app purchases requires professional app store optimization, paid advertising across social & search platforms, influencer collaborations, PR campaigns, and other digital marketing endeavors.
It is not necessary to invest in all of the above. A professional app marketers recommend creating a unique marketing mix based on your audiences, market trends, and competitor tactics. Keep an eye on your marketing expenses as they can escalate when done wrong, causing the costs of app development to escalate beyond budget.
Renowned social audio app Clubhouse largely invested in an invite only and influencer marketing strategy, rather than traditional ad marketing.
Mobile app development can feel like a labyrinth of escalating expenses if not planned effectively. While certain costs are obvious, hidden factors can massively impact your budget. Let’s dive into four crucial overlooked expenses that can catch you off guard.
Aesthetics and user experience are paramount, because ugly apps don’t sell. Google has previously identified that well designed UI & UX can both increase conversion rates by 200% and 400% respectively.
Investing in high quality app design isn’t just about visual appeal, it’s about giving your customers an engaging user journey. Google’s UX research has also identified that 72% of users will abandon an app that doesn’t let them accomplish their tasks easily and quickly. Bad design also leads to negative reviews, which of course leads to lower profitability and a whole lot of work for your public relations team to get things back on track.
Your app backend is the brain of your app. From Managing databases and servers to app logic, it is the backbone keeping your app functioning. The backend is responsible for data storage, user authentication, and unhindered communication between the server and user app.
Development professionals discuss that server and backend maintenance can cost between $5,000 and $25,000 per year. Trying to save on backend development can lead to scalability issues, security vulnerabilities, and poor performance overall.
QA & testing can consume close to 155 to 20% of your app development budget. Undergoing QA testing is a critical phase to ensure your app functions correctly across platforms & devices, plus it validates your user experience. A poorly tested app can lead to negative reviews, abandon rates, and possibly redevelopment which can have significant costs.
Keeping your app maintained on an ongoing basis is critical to ensuring your customers stay engaged and your app can scale effectively. Our development team discusses that maintenance can cost between 30% and 40% of the initial cost in the first year as DevOps teams counter bugs & issues. In the following years however, it goes down to somewhere between 15% & 30%.
Remember, regular updates are critical for bug fixes & security flaws. Then there is the ever evolving demands of customers for enhanced features and compatibility with their latest devices. No one would want to use an obsolete app, so don’t set it and forget it.
Mobile app development costs are a significant investment, and maximizing output from your budget requires strategic planning in addition to informed decision making. To get the best app for your budget, here’s what you can do.
App complexity and number of features drive your app development costs. Clutch discovered in a survey that the median high cost of app development is $171,450. Infrastructure costs like data storage and third-party integrations can be significant cost drivers.
A professional mobile app consultant can identify core features, prioritize development, and create a strategic roadmap to ensure your solution is built within the budget. Your app’s core features determine functionalities that are fundamental to its primary purpose. Discuss core features with your consultant or simply ask yourself, do I even need certain features in the app?
Yes you can have an AI chatbot, payment gateways, Google Sign-in features and other features, but identify which ones are essential for your customers? Additional features can always be added in future updates. Focus on what should come first, don’t burden your MVP or even your full feature app with unnecessary functionalities … ever heard of faster time to market?
A strategic app roadmap is probably the most effective way to outline your product timeline. This roadmap will determine when to roll out new features based on user feedback during pilot testing and market demand. Always discuss with a professional app consultant and your business teams. As resources are concentrated on features that matter most to your customers, you eliminate unnecessary app development costs and release apps faster.
Your app developers, designers, and testing experts will make up a significant portion of your app development costs. The expertise and location of development teams also have a major impact on the quality and the cost of the app. GoodFirms identifies that average cost of app development can vary between $25 and $200 per hour, depending on where your mobile app developers are located, their reputation, and their expertise.
MyTeams mobile app advisors recommend considering three essential aspects before selecting your development team. The first of these is the experience and expertise your team brings to the table. The best way to do this? Review the provider’s portfolio, research them on different review platforms like GoodFirms, Clutch, G2, Capterra, DesignRush, TrustPilot, and others.
Effective communication is by far one of the most critical aspects of the development process, and eventually crucial for your app’s success. While it’s very important that your team speaks acceptable English, it is also important that your development providers are responsive, have a good understanding of your vision, and are available to collaborate in your timezone.
The location of your development teams is going to be a major factor in ascertaining the app development costs. Yes offshoring can reduce costs, but you will have to balance savings with potential communication & collaboration challenges.
A custom mobile app development company that gives you an ongoing commitment is definitely a rare commodity. Your app will need ongoing maintenance, updates, and zero day security events that will need management to stay competitive. You can always develop the best app in your budget, but you will also need consistent maintenance to ensure it functions properly. At MyTeams we recommend allocating 15% to 20% of your initial development cost as your annual maintenance.
One of the most important parts of ongoing maintenance are your app’s regular updates. These updates are important for bug fixing, performance improvements, and ensuring compatibility with new devices or platforms.
Feature enhancements or adding new functionalities based on user feedback, market trends, or competitor offerings is simply necessary to keep your app competitive. Unless you want to miss out while your competition benefits from features like an AI chatbot, access to a newly discovered market, interactive content, etc. always be ready to invest in new features based on feedback and latest trends in the long term.
Security should neither be overlooked nor should it be underrated. Neglecting maintenance can lead to users abandoning the app, negative reviews, and even worse, significant financial losses. Blockchain platform Orbit Chain experienced a security breach that resulted in a loss of $86 million in cryptocurrency, particularly Ether, Dai, Tether, and USD Coin as Orbit Chain’s balance went from $115M to $29M instantly, meaning that the losses were estimated to be about $86,000,000.
Stressing over the cost of app development?
Talk to a MyTeams expert to get your custom development quote right from the get go.
MyTeams brings together a phenomenal team of business consultants, mobile app developers, designers, project managers, marketers, and DevOps engineers with collective experience exceeding 85 years. We provide realistic app cost estimates based on ready resources, familiarity with the latest frameworks, and knowledge of prominent app development trends.
Accumulating the top 1% of resources from three continents, we are part of the Myco family, creators of the renowned streaming super app. Our expertise includes custom mobile app development, IT staff augmentation, organic and paid marketing, advanced development solutions like AI and ML integrations, Blockchain and dApp development, and thought leadership management services.
