Definition of Services category for financial reporting purpose,
The Company sells and delivers digital content and applications through the iTunes Store ® , App Store ® , Mac App Store, TV App Store, iBooks Store ® and Apple Music ® (collectively “Digital Content and Services”).
Includes revenue from Digital Content and Services, AppleCare, Apple Pay, licensing and other services. Services revenue in the third quarter of 2018 included a favorable one-time item of $236 million in connection with the final resolution of various lawsuits.
Don’t think it’s going to happen for a long time unless those customers are under a strapped budget. Chinese manufacturers need to establish a certain level of goodwill in order to achieve that.
I am not saying it will happen, soon or ever at all. That’s why it’s just a thought exercise.
My point is that Apple service revenue is highly dependent on iPhone sales. Maybe it lags in time so a disappointing iPhone sales won’t affect service growth for some quarters. But to argue Apple is no longer dependent on iPhone sale is nutty. It does. More than ever.
Apple services run on Apple hardware and nowhere else. iPhone is the most dominant hardware in Apple’s arsenal.
On Wednesday it updated its share count, revealing its market cap currently stands at $973.2 billion. To reach $1 trillion, its stock needs to rise from Wednesday’s closing price of $201.50 to at least $207.04.
yes, $207.05, 1 cent above the magic $207.04 $1T market cap and pull back. Now that $1T can be achieved, next to prove that it can stay above. Soon AMZN, MSFT and GOOG would be $1T too.
Aren’t you the one that’s big on privacy? Google invades your privacy to sell you ads, so the apps can be free. Shouldn’t you want to pay Apple a small fee, so all your info stays private?
Google is just now trying to monetize YT with a paid premium version. Everything else Google monetizes is with ads. Google literally makes more ad money off an iPhone user than an Android user. That’s how poorly they’ve managed and monetized Android. They have the most popular smart phone OS in the world and earn more money per iPhone user.
Some analysts had concerns about a possible slowdown in iPhone sales after the company’s quarterly earnings report showed Apple sold fewer iPhones than expected. But still, in his interview on “Squawk Box,” Buffett said long-term investors shouldn’t be too concerned about near-term iPhone sales.
“The idea that you’re going to spend loads of time trying to guess how many iPhone X … are going to be sold in a three-month period totally misses the point,” he said.
Apple’s the one tech stock that’s a perfect fit for Buffett’s investment style.
Buffett likes simple companies with long-term strategies and good products.
Buffett has frequently stated that he’s a fan of investing in efficient companies that are run as simply as possible. Apple fits the bill. There’s no guessing where it makes money: iPhones, iPads, Macs, services. “Here’s a company with, whatever their earnings are, $60 billion, and you can put all their products on a dining room table,” Buffett told CNBC’s Becky Quick.
The iPhone X was the first time Apple had released three iPhones in one go, and people worried the new device would cannibalise sales.
Evidently, none of this has really mattered. A pricier iPhone model, plus growing revenue from “services” like AppleCare, the App Store, and iCloud, and new product categories like the HomePod smart speaker all suggest Apple is still on a strong trajectory.
The success of the iPhone X pricing, plus supply chain rumours, suggest Apple will try and replicate the strategy this year.
sales.