Last year, Android users installed 65 billion apps - that's a lot of Internet traffic. To address that, Google has updated its delta and compression algorithm making both initial installs and especially updates much smaller. Android apps are limited to a 100MB APKs, but can use the APK Expansion Files feature to bring in an additional 2GB (mostly used for game assets). The new algorithms can save up to 12% on first install and as much as 65% when updating. That's a lot when we're talking 2GB of data! Then there are the APKs themselves. Google specifically tuned the new algorithm,...
Source: http://www.gsmarena.com/app_installs_and_updates_from_the_google_play_store_will_be_smaller-news-19591.php