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Google to Dip Into Ed. App. Market

An article on Bloomberg Businessweek reports that Google execs are currently in talks with education software companies about creating educational apps to be featured in Google Apps Marketplace, an online store that opened in March. Education software sales in K-12 and higher ed raked in about $4.6 billion in 2009, according to the article, and Google, which typically makes its profit from search advertising, is hoping to cash in on some of that revenue stream.

Google already offers free apps, such as e-mail, word processing, and spreadsheets, to educators, so hooking up the Mountain View, Calif.-based company's 10 million users in schools with educational software apps could be a natural fit, says Google's business development manager for education, Obadiah Greenberg, in the article.

For now, most of the software companies that create apps for the Google Apps Marketplace collect all the profit from sales through the site, but in the coming months, Google plans to begin taking about a 20 percent cut of the revenue, the article said.

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