Apple Continues To Make An Absolute Shit-Ton Of Money On iPhones Somehow

Apple Continues To Make An Absolute Shit-Ton Of Money On iPhones Somehow

Every September, Apple reveals a new iPhone. And every year, Apple watchers wonder if this will be the new iPhone to which consumers say, “Nah, we’re good.” 2019 was not that year. With a little help from the iPhone 11 lineup, Apple made a $US22.2 ($33) billion profit on $US91.8 ($136) billion in revenue over the holiday quarter. (In case you were wondering, that is indeed an absolutely insane amount of money.)

Apple’s other products and services, which include everything from the Apple Watch and AirPods Pro to Apple Music and Apple Pay, also raked in a ton of money in the holiday quarter that ended Dec. 28th. But iPhone revenue was up 8% year-over-year, accounting for $US55.97 ($83) billion of that record-breaking $US91.8 ($136) billion in revenue. People are clearly not tiring of Apple’s signature device, despite incremental design tweaks.

“We are thrilled to report Apple’s highest quarterly revenue ever, fuelled by strong demand for our iPhone 11 and iPhone 11 Pro models, and all-time records for services and wearables,” Apple CEO Tim Cook said in the company’s earnings report. “During the holiday quarter our active installed base of devices grew in each of our geographic segments and has now reached over 1.5 billion.”

Services pulled in $US12.7 ($19) billion, and Apple’s other products category, which includes wearables, accounted for $US10 ($15) billion.

It is a little bit wild that Apple continues to set profit and revenue records with a flagship smartphone at a time when smartphone sales are flagging (though that trend is expected to reverse with the full launch of 5G networks and 5G phones in 2020).

But it’s not all sunshine in Apple-land. The iPad and Mac aren’t selling as well these days—iPad revenue was down 11% and Mac revenue down 3.4%.