Jaeden Shafer

And it just doesn't turn out to be that useful.

Or I guess the demand isn't there.

Business also has a 19.1% rate of having AI inside of the apps, the business category.

I think where things get a lot more surprising is customer retention.

So across both monthly and annual subscription plans, AI powered apps consistently were underperforming just regular non-AI apps.

after 12 months, AI apps had about a 21% retention rate for their subscribers.

So if 100 people subscribe on day one, 12 months later, only 21 of those will still be subscribed compared to over 30%, 30.7% for non AI app.

So 10% higher if you don't have AI embedded in there.

Now, I think there's going to be some things that obviously, you know, skew that which is that a lot of these AI apps are kind of a new interesting use case, and people are going to be trying them out

for the first time.

I also think that there's a lot of hype and if the AI can't do exactly what you want perfectly, you're going to move on.

And I think those capabilities will come back in the future.

So people may retry those same apps in the future and they'll stop being called just like an AI app.

Like there's not going to be a buzzword.

It's just gonna be like an app that does XYZ, does use AI, but you know, people don't really care.

It just does it correctly.

And I think then you'll see the retention rates higher.

On a monthly basis, I think there's also a pretty big gap between these two categories.

AI apps have a 6.1% retention.

Non-AI apps have a 9.5% retention rate, just month to month.