Apple services growth slows to $19.6 billion in revenue

Apple’s services category, which includes Apple TV+ and Apple Music, generated $19.6 billion in revenue in the third fiscal quarter ended in June, up from the previous quarter, which posted a record $19.8 billion. billion in sales for the category.

Apple now has more than 860 million paid subscribers for its services category, up from 825 million last quarter, Apple Chief Financial Officer Luca Maestri said during the company’s earnings call.

The tech giant reported total revenue of $83 billion for the quarter, up 2% year-over-year, and net income of $19.4 billion.

As in previous quarters, iPhone sales accounted for the majority of Apple’s revenue, with $40.7 billion in revenue for the quarter, although that’s more than the $50.6 billion in sales in the previous quarter ended in March.

Apple has invested heavily in live sports programming this year. In June, the company announced a 10-year deal to become the exclusive home of Major League Soccer games starting in 2023 as part of an Apple TV+ subscription. The deal comes months after Apple obtained a Friday night baseball is entitled to an agreement with Major League Baseball to broadcast weekly double-header games on Fridays.

The company also continued to acquire feature films for its subscription service, the most recent being the drama A24. Cause, With Jennifer Lawrence and Brian Tyree Henry.

The film and television tech giant’s expansion continues to do well on this year’s awards circuit. Apple TV+ received 52 Emmy nominations 2022, with shows like this Release s ted’s bow Get several shakes.

When asked about Apple’s future M&A plans, CEO Tim Cook said he “wouldn’t rule out anything” and noted that the company is keeping an eye on the market.