Platforms vs. Application: Everthing You Need to Know

Mobile technology has transformed the way people live their lives. With the rise of smartphones and tablets, we now have access to many applications and platforms that enable us to accomplish tasks and communicate with others at the touch of a button. 

However, there are significant differences between an application vs. platform. In this article, we will explore the definitions, characteristics, and examples of platforms vs. application. We will also discuss some of the key differences between them and whether an app can also be a platform.

What Is A Platform?

A platform is a system or foundation that connects different groups—like buyers and sellers, creators and users—to enable interactions and create value together. Instead of producing everything itself, a platform facilitates exchange and collaboration between its participants.

A platform serves as the foundation for building other applications. It includes essential elements such as operating systems, hardware, and APIs, which enable apps to function properly.

A platform can come as hardware, such as a computer system, or as software, such as an operating system on which other software programs run. A notable example is the Windows operating system, which serves as a platform for developers to create Windows-compatible applications.

Platforms provide developers with the building blocks to develop applications compatible with various external systems. Essentially, platforms serve as frameworks that enables various apps to operate on it. Smartphones are a prime example, as they possess hardware (form factor) and an operating system and can connect with other devices and operating systems.

Key Characteristics of Platforms

• Intermediary Role:
  Platforms act as a bridge connecting two or more distinct groups who benefit from interacting with each other.
• Network Effects:
  The value of a platform increases as more people join. For example, the more users on a social network, the more valuable it becomes for everyone.
• Scalability:
  Platforms can grow quickly without needing the same increase in resources, because they leverage others to create value.
• Openness & Extensibility:
  Many platforms allow developers or partners to build on top of them through APIs or tools, creating a larger ecosystem.
• Value Exchange:
  Platforms facilitate the exchange of goods, services, information, or social connections between participants.
• Governance & Trust:
  Successful platforms manage rules and build trust among users through features like ratings, reviews, and dispute resolution.

Examples of Platforms

• Amazon: A marketplace platform connecting sellers and buyers around the world.
• YouTube: Connects video creators with viewers, enabling content sharing and monetization.
• Uber: A platform linking drivers with passengers, creating a convenient transportation service.
• iOS / Android: Mobile operating systems that connect app developers with smartphone users.
• Facebook: A social platform that connects people, enabling communication, sharing, and advertising.

A platform can also be a cloud service that provides various resources and capabilities for developers and users to create and run applications. For example, AWS, Microsoft Azure, and Google Cloud are popular cloud platforms that offer a range of features, from computing and storage to networking and analytics. 

Language and frameworks are used to create platforms include:

• Programming languages (Java, Python, C++)
• Development frameworks (Django, Rails, React Native)

What is an Application?

An application (or app) is a software program designed to help users perform specific tasks on devices like computers, smartphones, or tablets. It can be anything from a game to a tool for work or communication.

Applications run locally on a server or computer system. They use application programming interfaces (APIs) to communicate to other apps. These apps serve various purposes. On one hand, there are complex database systems or deployment tools. On the other hand, there are simple programs like word processors or image editors that can be used across a range of devices, including smartphones, tablets, and computers. 

Notable examples of apps include Google Chrome, Microsoft Word, and Spotify. All of them are compatible with Windows, macOS, iOS, and Android platforms.

Apps can be classified into three main categories based on mobile development:

• Native apps. The apps are built specifically for a particular platform. For example, a native iOS app can only be run on iPhones and iPads.
• Web apps. Web apps are built using web technologies (HTML, CSS, JavaScript) and can be run on any device with a web browser.
• Cross-platform apps. Cross-platform apps are built using a framework that allows them to be run on multiple platforms. For example, you can build cross-platform apps that run on Android, iOS, and Windows using React Native.

Apps can also be delivered as software-as-a-service (SaaS), which means they are hosted on the cloud and accessed remotely by users. Therefore, businesses do not have to invest in hardware. It also ensures that software updates can be installed seamlessly.

Key Characteristics of Applications

• Purpose-Driven:
  Apps are built to solve particular problems or provide specific functions—like messaging, photo editing, or shopping.
• User Interface:
  Applications have a user-friendly interface that lets users interact easily with the software.
• Platform-Specific or Cross-Platform:
  Some apps run only on specific operating systems (like iOS or Android), while others work on multiple platforms.
• Interactivity:
  Apps respond to user inputs, providing real-time feedback and features.
• Standalone or Connected:
  Some apps work independently, while others connect to the internet or other services to function fully.

Examples of Applications

• WhatsApp: A messaging app for communication.
• Spotify: A music streaming app.
• Microsoft Word: A word-processing app.
• Instagram: A photo-sharing social media app.
• Uber: An app for booking rides.

5 Key Differences Between Platforms vs. Apps

Here are some of the main differences between platforms vs. apps:

When Your Business Build a Platform or an Application? 

Are you wondering whether to develop a platform that connects many users or a focused application that solves a specific problem? This is a crucial question because your choice will shape your business model, growth potential, and how you engage your customers.

Let us guide you with expert insights on when it makes sense to build a platform versus an application.

When to Build a Platform

• Your business idea involves connecting multiple groups who interact and create value together, such as buyers and sellers, hosts and guests, or content creators and audiences.
• You want to leverage network effects where each new user increases value for everyone else.
• Your vision includes creating an ecosystem that supports third-party developers, partners, or multiple service providers.
• You’re prepared to invest time and resources into solving complex challenges like attracting initial users on both sides of the market.
• Examples: Marketplaces like Etsy, ride-sharing services like Uber, or social networks like LinkedIn.

When to Build an Application

• You want to create a specific tool or service designed to meet a well-defined user need.
• You prefer to control the entire user experience without balancing multiple user groups.
• You aim for a faster time to market with a more straightforward development process.
• Your monetization model is direct, such as subscriptions, one-time purchases, or in-app sales.
• Examples: Meditation apps like Calm, task managers like Todoist, or photo editors like VSCO.

Can an Application Also Be a Platform?

Yes, an application can also be called a platform in the sense that it can perform meaningful work within an organization or industry. 

This is known as a platform-as-a-service (PaaS) model. For example, Salesforce is an application that provides customer relationship management (CRM) solutions. However, it is also a platform that allows developers to create custom apps using its tools and services. 

Similarly, an application like a relational database management system (RDBMS) can be utilized to store, manage, and query data. In addition, it can be used as a platform for creating other applications. As a result, developers could leverage an RDBMS app to store and manage customer data.

An application can also be called a platform if it provides a framework for other developers to build on top of. For instance, WordPress is an application that allows users to create websites and blogs. But it is also a platform that supports thousands of plugins and themes, enhancing its features and capabilities. And developers can use its APIs and tools to create custom websites without writing code from scratch.

Platforms vs. Apps: What Will They Be Like in the Future?

Several factors, such as technological innovation, market competition, user demand, and social and regulatory pressures, will likely shape the future of platforms and apps. Some of the trends that experts predict for the next decade include:

• With the advent of 5G and the Internet of Things (IoT), digital connectivity is becoming faster and more widespread. This will allow for more personalized and data-driven services in areas like healthcare, mobility, manufacturing, and retail.
• By adopting a more distributed and decentralized infrastructure, platforms can operate closer to users and devices at the network’s edge. This approach enables the utilization of advanced technologies such as blockchain, cloud computing, and artificial intelligence to improve security, efficiency, and scalability.
• The future of computing lies in the integration of quantum computing, neuromorphic computing, and nanotechnology. This convergence promises to unlock new realms of problem-solving, revolutionize experiences, and propel scientific discovery to unprecedented heights.
• The growing dominance of a few large platforms in various markets and the emergence of new challengers from diverse regions and sectors will foster platform competition and consolidation.
• Implementing more rigorous regulation and governance may be necessary to address the social and ethical concerns surrounding platforms, including privacy, security, fairness, accountability, and sustainability. To achieve this, companies must carefully consider and balance the interests and expectations of their diverse stakeholders, including users, developers, partners, providers, and regulators.
• To achieve more significant innovation and diversification, we will need to develop new, specialized platforms and expand current ones with fresh features and capabilities is essential. Additionally, it is crucial to keep up with evolving user preferences and behaviors, including the desire for more engaging and interactive experiences.

Conclusion

Platforms and applications are two different types of software products that have different purposes and characteristics. Understanding their differences can help you choose the right solution for your business or personal needs.

Therefore, we hope this article has helped you understand the difference between platforms vs. apps. If you have any questions or comments, please feel free to share them below. Thank you for reading and stay tune on Golden Owl's blog for more updates!

FAQs

Q1. What is the difference between a platform and a web application?

A platform is a system that connects multiple user groups and enables interactions between them, often supporting third-party developers and network effects. A web application is a software program accessed through a web browser designed to perform specific tasks for users, usually focused on delivering a particular function or service.

Q2. What makes an application a platform?

An application becomes a platform when it expands beyond serving just one user group or function to connect multiple user groups, create interactions or transactions between them, and often allows third-party developers or partners to build on top of it, creating a broader ecosystem with network effects.

Q3. What are the 3 elements of a platform?

The three core elements of a platform are:

• Multiple User Groups: At least two distinct groups (e.g., buyers and sellers) that the platform connects.
• Interaction: The platform facilitates direct or indirect interactions between these groups.
• Value Creation through Network Effects: The platform’s value grows as more users join and interact, benefiting all participants.