Services Are the Rising Star at Apple

Services Are the Rising Star at Apple

Foto: Statista

When people think of Apple, they think of hardware first. iPhone, iPad, MacBook and iMac – those are the products that have made Apple what it is today: the most valuable company in the world.

Over the past few years however, another part of Apple’s business has quietly overtaken all but one of the above. Apple’s services segment accounted for $30 billion in revenue in the fiscal year ended September 30, making it the second largest contributor to overall sales behind the company’s cash cow, the iPhone, which brought in $141 billion over the past 12 months.

With Apple Music, Apple Pay, iTunes and the App Store as well as iCloud and Apple Care, Apple’s services business has become a beast of its own in recent years. As our chart illustrates, services revenue increased by more than five billion compared to the previous fiscal year and nearly doubled over the past five years. Apple’s ambitions go much further than that though. Earlier this year, CEO Tim Cook announced that the goal was to double revenue from services by 2020.

More from category

Alibaba's AI Outgunned Humans in Key Stanford Reading Test

Alibaba's AI Outgunned Humans in Key Stanford Reading Test

16 Jan 2018 comment

Alibaba has developed an artificial intelligence model that scored better than humans in a Stanford University reading and comprehension test, according to Bloomberg.

EU Launches One Billion Euros Supercomputing Plan

EU Launches One Billion Euros Supercomputing Plan

13 Jan 2018 comment

The European Union will spend one billion euros to try to catch up to China, the U.S. and Japan in supercomputing, the European Commission said.

Intel Says Chip-Security Fixes Leave PCs No More Than 10% Slower

Intel Says Chip-Security Fixes Leave PCs No More Than 10% Slower

12 Jan 2018 comment

Intel, trying to defuse concern that fixes to widespread chip security vulnerabilities will slow computers, released test results showing that personal computers won’t be affected much and promised more information on servers, according to Bloomberg.