Apple’s iTunes empire alone would be ranked number 130 in Fortune 500

“During the last quarter Apple changed the pricing for iWork and OS X to zero,” Horace Dediu reports for Asymco.

“I estimate the net effect to have been a reduction in revenues from those software titles of about $350 million for the quarter,” Dediu reports. “Nevertheless, increases in services and app revenues means that the iTunes total reported revenues increased to a new record.”

“On a yearly basis iTunes/Software/Services is nearly half of Google’s core business and growing slightly faster,” Dediu reports. “The iTunes ’empire’ of content and services would be ranked as number 130 in the Fortune 500 ranking of companies (slightly below Alcoa and above Eli Lilly).”

Read more in the full article here.


  1. This is TFA behind the Elmer-dewitt piece behind the item eight below. PED misinterprets what Dediu has done in grossing up iTunes revenues to include the 70% of app purchase payments passed on to developers, and which do not appear in Apple’s regular accounts as income.

  2. Forget Google:

    Amazon net sales were $25.59 billion in the fourth quarter. Operating income was $510 million in the fourth quarter.

    So iTunes generates almost 5X the profit of ALL of Amazon on less than 1/3 of the revenue.

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