Apple's Services Revenue Up 24% on App Store, Apple Pay, and Apple Music Growth
During today's fourth quarter earnings call, Apple CEO Tim Cook highlighted the significant growth Apple saw in its services category, which is up 24 percent year over year.
In the quarter, Apple's services segment, which consists of the App Store, iTunes, Apple Music, Apple Pay, AppleCare, and more, brought in $6.3 billion, up from $5 billion in the year-ago quarter.
According to Cook, services growth is driven by continued increases in App Store revenue and the increasing popularity of Apple Music. Revenue from Apple Music was up 22 percent in Q4 2016 compared to Q4 2015, while the App Store saw its fifth consecutive quarter of growth.
Apple Pay is also seeing steady growth. Apple Pay transactions are up over 500 percent, and in September of 2016, Apple saw more Apple Pay transactions than across all of fiscal 2015.
All in all, Apple has nearly doubled services revenue in the last four years and expects the services category to reach the size of a Fortune 100 company in 2017.
Popular Stories
While the iPhone 18 Pro and iPhone 18 Pro Max are not expected to launch for another six months or so, there are already plenty of rumors about the devices.
It was initially reported that the iPhone 18 Pro models would have fully under-screen Face ID, with only a front camera visible in the top-left corner of the screen. However, the latest rumors indicate that only one Face ID component...
Apple provided developers and public beta testers with the release candidate versions of iOS 26.4 and iPadOS 26.4, which means we're going to see a public launch as soon as next week. The RC versions of the software include Apple's official release notes, giving us final details on what's included in the update.
Apple Music
- Playlist Playground (beta) generates a playlist from your...
Apple has unveiled a whopping eight new products so far this March, including an iPhone 17e, iPad Air models with the M4 chip, MacBook Air models with the M5 chip, MacBook Pro models with M5 Pro and M5 Max chips, the all-new MacBook Neo, an updated Studio Display, a higher-end Studio Display XDR, and now the AirPods Max 2 this week.
iPhone 17e features the same overall design as the iPhone...
