Apple’s iPhone sales may be dropped. The company service division includes the App Store,iCloud music, TV, and other types of subscriptions still soaring.
The tech giant based in Cupertino announced on Thursday that its Services division generated an unprecedented $26.3 billion in revenue for the quarter that ended on December 28, up 14% from the previous year. Over the previous year, services brought in around $100 billion. CEO Tim Cook stated on the results call on Thursday. Furthermore, Apple stated that over 1 billion people have subscribed to its services, including through third-party apps available in the App Store.
The company stated that customer engagement with services, including transacting and paid accounts. These two have reached record highs. They have paid accounts and subscriptions both rising by almost double digits year over year.
Apple mentioned the growth of certain products, such as Fitness+, which adds new programs, and Apple Arcade, which keeps adding games. It also mentioned Apple’s iPhone Tap to Pay feature, which is currently available in 20 markets.
Regarding subscriptions, investors were curious about the possible impact of a new legal environment on these figures.
One inquiry was on whether new regulatory changes could be advantageous, even though investors didn’t specifically inquire about how the Trump administration would affect Apple revenue.
That would be a “more balanced regulatory environment” potentially reversing prior headwinds that Apple may now be absorbing in its results.
Apple’s CFO, Kevan Parekh, avoided the question, repeating instead the positive numbers for Services. They also added that customers were increasing across the customer base its service offerings and the geographical regions.CEO Tim Cook didn’t properly respond to the questions.
