Apple’s Services Are Unstoppable

While Apple’s Services revenue grew by 17.3% compared to the year-ago quarter, its subscriber base increased by an even wider margin.

According to Apple CFO Luca Maestri, Apple’s Services now boast 825 million paying subscribers — a 25% increase from 660 million a year ago.

Note that Apple’s Services revenue not only encompasses the well-known services like Apple Music, Apple TV+, Apple Arcade, Apple Fitness+, and Apple News+, but it also includes iCloud storage subscriptions, AppleCare+ subscriptions, purchases from the iTunes Store, and of course Apple’s 15-30% cut from App Store sales.

As usual, Apple isn’t breaking any of this down by specific services, although the number of subscribers excludes areas like the iTunes Store and App Store, so it’s a much more meaningful indicator of Apple’s Services growth than the raw dollars — and an increase of 165 million users suggests Apple is doing very well in this area indeed.