Sign up to save tools and stay up to date with the latest in AI
bg
bg
1

Apple Beats Estimates Despite iPhone Sales Slump

May 03, 2024 - techtimes.com
Apple's recent earnings report showed a revenue drop due to slow iPhone sales, but the company still exceeded Wall Street's forecasts, leading to a rise in its shares. Apple CEO Tim Cook reported a record $90.8 billion in March quarter services revenue, despite a 4% year-on-year fall in sales. iPhone revenue fell 10% to $45.96 billion, below Wall Street's projection of $46 billion. Cook also announced significant investments in generative AI in the coming quarter, following other tech giants like Amazon, Alphabet, Microsoft, and Meta.

Apple's first new product since the 2015 Apple Watch, the Vision Pro mixed-reality headset, has had a modest sales impact. The company also faces perceptions of falling behind Microsoft and Google in AI technology development. However, Cook has promised to discuss Apple's AI projects in the coming weeks. Meanwhile, rival Samsung regained its global leadership with a 20.8% market share and 60.1 million smartphone sales in Q1, while Apple recorded a 17.3% market share and sold 50.1 million units during the same period.

Key takeaways:

  • Apple's recent earnings report showed a revenue drop due to slow iPhone sales, but the company still exceeded Wall Street's forecasts, with CEO Tim Cook reporting a record $90.8 billion in March quarter services revenue.
  • Apple is facing stiff competition in the smartphone market, particularly from Huawei in China, and Samsung, which recaptured the top rank in 2024.
  • Apple is making significant investments in generative AI, with Cook announcing large investments in the coming quarter and highlighting the MacBook Air as the 'best consumer laptop for AI.'
  • Despite concerns over falling behind in AI technology development, Apple is reportedly building an AI research hub in Zurich and has published AI research papers, suggesting new product features.
View Full Article

Comments (0)

Be the first to comment!