Apple Reports Record Revenue Despite Decline in iPhone Sales

AI-driven features boost iPhone 16 adoption in select markets, while Macs, iPads, and services see strong growth.

Apple's revenue reached a record $124.3 billion in the holiday quarter, a 4% increase from the previous year, despite a slight drop in iPhone sales.
iPhone 16 sales were bolstered in markets with the rollout of 'Apple Intelligence,' a suite of AI-driven features including email summarization, text improvement, and photo editing tools.
Mac and iPad sales exceeded analyst expectations, with significant year-over-year growth in both categories, contributing to the company's overall performance.
The services segment, including the App Store and subscription offerings, grew by 14% to $26.34 billion, highlighting Apple's diversification beyond hardware.
Apple's revenue in China fell by 11%, attributed to increasing competition from local smartphone makers, though CEO Tim Cook expressed optimism about potential economic support measures in the region.