While revenue from iPhone sales declined in Q1,Apple reported all-time revenue records from the App Store, Apple Pay, cloud services and other Services categories.
Apple on Tuesday published its Q1 financial results, reporting that services revenue grew by 19 percent year-over-year to reach an all-time high of $10.9 billion. On a conference call Tuesday, Apple CEO Tim Cook and CFO Luca Maestri outlined the factors behind the growth of Apple’s Services business — and those constraining it.
In addition to posting Apple’s highest-ever global Services revenue, the company also had all-time records across multiple categories of Services, including the App Store, Apple Pay, cloud services and the App Store search ad business. Nearly 16 years after launching the iTunes Store, Apple generated its highest quarterly music revenue ever, thanks to the popularity of Apple Music, now with over 50 million paid subscribers.
Apple Pay saw more than 1.8 billion transactions in the quarter, well over twice the volume of the year-ago quarter. Apple Pay was launched in three new countries in the December quarter — Germany, Belgium and Kazakhstan — and is now live in 27 markets around the world.
