What Apple Product is Becoming a Cash Cow?

Recent reports have revealed that Apple’s (NASDAQ:AAPL) iPad users have no problem with paying for premium news content in the Newssstand category. In fact, Apple is making more than $70,000 each day from purchases through its Newsstand app.  The category was launched six months ago and has already become one of the top 100 grossing Newsstand applications in the United States.

In other news, for the first time in the history of Apple’s iPad App Store, China has surpassed the United States in downloads of free applications. During February 2012, the number of daily downloads of the top 300 most popular free applications exceeded 1.1 million in China, but was just below 1 million in the United States. The most attractive categories were Free Weather, Newsstand, and Entertainment.

While developers are certainly cashing in on the popularity of iPads and iPhones and users who want to make the most of them an array of apps, Apple is doing quite handsomely as well. Not only does Apple get a cut of sales through its App Store, but the volume and recognizability of apps made for Apple devices actually encourage people in the market for smartphones or tablets to choose Apple in a self-perpetuating cycle that has helped make Apple one of the most valuable companies in the world.

To contact the reporter on this story: Diallah Haidar at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com