“It’s becoming clear that those selling products and services — such as Apple, Amazon, and Microsoft — have perhaps the most sustainable models,” Bajarin writes. “Apple announced in its May 1 earnings call that its services revenue during the last quarter was $9.2 billion. This is a 31 percent increase from the same quarter a year ago; if made a standalone company on its own, services would be a Fortune 300 company.”
Bajarin writes, “While there is money to be made in hardware, PC sales continue to shrink and a focus on services is critical to the long-term survival of companies like Apple, Microsoft, and others.”
Read more in the full article here.
MacDailyNews Take: As we wrote last August:
Apple’s services business is an unstoppable locomotive that, someday, even Mr. Market might fairly value.
Apple as a service: Services offer growth, visibility, and profitability – May 15, 2018
AAPL’s paradigm shift – May 11, 2018
Apple Services: The nitrous in Cupertino’s profit engine – November 27, 2017
Inside Apple’s massive services results – August 9, 2017
Misunderstanding Apple Services – August 7, 2017
Dispelling the Apple Services myth – May 3, 2017
Apple’s Services business: $7 billion in revenue last quarter alone – May 3, 2017
Apple’s Services (App Store, Apple Music, Apple Pay) business is an unstoppable juggernaut that’s still just gathering strength – May 3, 2017