Those who have been in the mobile applications business since the PDA days have experienced the innovation and buying cycles many times.  When we were at Palm’s first developers conference in 1997, a majority of the attendees were developing the next biggest game beyond backgammon.  Individual or consumer based applications were a big hit until wireless data networks started working on PDAs.  The industry forgot about games and rushed to the new frontier, business applications.  The color screen was then announced, and a new wave of games and consumer apps flooded the market.  Then the ability to synchronize email shifted industry focus back to the high ARPU promises of the small and medium sized businesses and the Fortune 1000. 

Today, there are hundreds of thousands of ring tones, games, and personal applications in the market and it seems the industry has forgotten the business customer once again.  The demands of the commercial market in each of these cycles is always lagging as the business customer has higher standards (security, version control etc.) and demands some ROI for the investment.  With 100′s of millions of new Smartphone owners, the pendulum will be swinging back to the interests of the business user, and maybe sooner than we think.   ABI Research just announced that 16.5% of surveyed Smartphone users spent between $100 and $499 on applications.

That seems like an awful lot of ring tones and $1 games from the app store.  Something else is going on.  Stay tuned.