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Apple's earnings call: iPhone price cuts and services help reduce sales decline

iPhone sales continue to decline sharply, according to Apple's second-quarter earnings statement, even though the company's stock and service business is up today.

Apple's most important iPhone revenue was another 17% for the quarter ending March 30, which amounts to $ 31.05 billion. A year ago, we saw iPhone revenue of $ 37.56 billion.

You can criticize people's continued upgrade aversion to newer, more expensive iPhones. The iPhone XS Max is Apple's most expensive phone ever, the "budget" iPhone XR is still quite expensive, and the iPhone XS didn't change very much from the iPhone X.

The new iPhone 11 rumors point to a triple-lens camera upgrade and the ability to wirelessly charge other devices (convenient for the new AirPods 201[ads1]9), but Apple's handset is not expected to have a groundbreaking smartphone design, unlike the competition.

How It Will Stop iPhone Blood Deletion

Apple noted that the fall in some countries helped see some recovery, so the decline was "significantly lower later in the quarter," according to CEO Tim Cook during today's earnings call from Apple. .

Unfortunately, Apple no longer supplies the number of iPhone units it sells. His Mac sales saw a minor dip (Apple was due to "processor limitations on some models"), while the iPad sales were up (Apple highlighted the new iPad Air and iPad mini). The company's catch-all Wearables, Home and Accessories category saw a nice shock.

Services are what Apple has spoken up recently, and today's earnings call was no different. It's up to $ 11.45 billion from $ 9.85, as Apple touts as breaking new records for Apple Music, App Store and Apple Pay.

The company just launched Apple News Plus and the upcoming Apple TV Plus, and Apple Arcade comes later in 2019. They will join Apple Music when they buy new subscription-based revenue.

"The service accounts for 20% of revenues in March, and one-third of gross profits," said Apple CFO Luca Maestri under the Apple Revenue. ring.

Of course, Apple's iPhone revenue is still 2.8 times larger than the growing service category, and it becomes a dangerous business to be in. Netflix has spent $ 15 billion on original content, HBO has shown house names like Game of Thrones and Disney Plus launch November 12 with a Disney, Marvel and Star Wars packed back catalog.

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