Apple recently just came out with it’s newer iPhone model called the SE and it became an internet sensation mostly because of its price point and the new features packed in the old iconic body. While the move seems pretty obvious - to cover up the earnings target during this global pandemic, the phone is still a hit on the internet only. People aren’t ready to buy any phone in this duration of survival.
Hence, while lately a lot of reports have clarified the fact that the sale of iPhones, iPads, or other Apple products has been down for quite a while, the tech giant, fortunately, is booming to new heights with its services.
Yes, while declaring the earnings on last Thursday, Apple highlighted that it’s services like App Store and Apple TV+has now achieved an all-time revenue record of $13.3 billion for the second quarter.
One may give the credit of this success to the shift of trends that have taken place during this COVID pandemic, but Apple also started playing after announcing about their focus on services in the 2019 Keynote. In fact, if we look closely at the strong performance of the App Store (downloads and search ads) the revenue actually grew up to double digits because people are now choosing to make the in-app purchases and subscribing to everything that is entertaining them well.
Moreover, new services like Apple TV+, Apple Arcade, Apple News+, and Apple Card are also turning out to be a more exciting bet for users which has helped the company achieve the overall growth target in the services category. The third-party subscription business also increased by thirty percent in the last one year.
The social distancing rule is here to stay for a long time (or at least till the world doesn’t find a cure to COVID-19). So it is pretty much expected that not only Apple TV+ or the App Store, Services like FaceTime, Apple Music, and Message will also continue to perform stronger throughout the June quarter.
Surprisingly, Apple is also hopeful that iPhone and Mac sales will also improve in the third quarter (year over year). Tim Cook and his company think that the world is going to rely heavily on their devices in order to stay connected, get entertained, work remotely, or even attend classes. This would obviously create a need that later users would like to buy the newer devices for better experiences.
Read next: Tim Cook Reveals Apple News Has Now Hit A Milestone Of 125 Million Monthly Active Users
Hence, while lately a lot of reports have clarified the fact that the sale of iPhones, iPads, or other Apple products has been down for quite a while, the tech giant, fortunately, is booming to new heights with its services.
Yes, while declaring the earnings on last Thursday, Apple highlighted that it’s services like App Store and Apple TV+has now achieved an all-time revenue record of $13.3 billion for the second quarter.
One may give the credit of this success to the shift of trends that have taken place during this COVID pandemic, but Apple also started playing after announcing about their focus on services in the 2019 Keynote. In fact, if we look closely at the strong performance of the App Store (downloads and search ads) the revenue actually grew up to double digits because people are now choosing to make the in-app purchases and subscribing to everything that is entertaining them well.
Moreover, new services like Apple TV+, Apple Arcade, Apple News+, and Apple Card are also turning out to be a more exciting bet for users which has helped the company achieve the overall growth target in the services category. The third-party subscription business also increased by thirty percent in the last one year.
The social distancing rule is here to stay for a long time (or at least till the world doesn’t find a cure to COVID-19). So it is pretty much expected that not only Apple TV+ or the App Store, Services like FaceTime, Apple Music, and Message will also continue to perform stronger throughout the June quarter.
Surprisingly, Apple is also hopeful that iPhone and Mac sales will also improve in the third quarter (year over year). Tim Cook and his company think that the world is going to rely heavily on their devices in order to stay connected, get entertained, work remotely, or even attend classes. This would obviously create a need that later users would like to buy the newer devices for better experiences.
Read next: Tim Cook Reveals Apple News Has Now Hit A Milestone Of 125 Million Monthly Active Users
