Right, but users can only use an app once it has been developed, and ultimately if the user needs an app, they will go with whatever format it's being distribut

Right, but users can only use an app once it has been developed, and ultimately if the user needs an app, they will go with whatever format it's being distributed in. Then there's also the convenience factor — Gmail is a good example of this — where a web app is more convenient than a downloadable app that does the same thing, because it requires no installation or updates. I would also suspect that most users haven't any clue of the security implications of using something in a browser versus using an app.