Apple’s iPhone is the most successful product of all time

“The iPhone is the most successful product of all time,” Horace Dediu writes for asymco. “Over 1.6 billion have been sold. Including the iOS products it spun off, the total is over 2.2 billion. Of those 2.2 billion sold, 1.5 billion are still in use.”

“There are about 1 billion iPhone users. Economically speaking, iPhone sales have reached one trillion dollars,” Dediu writes. “Since the iPhone launched, Apple’s sales have totaled $1.918 trillion. Of those trillions about one half a trillion was accumulated in the form of income. Of that half trillion in income, $360 billion was paid out to shareholders. and $131 billion was paid in taxes.”

“This sounds like a good business, but no business is good if it is static. What makes a business great is dynamism. The idea is to constantly maneuver for a new or enhanced way of doing business as technologies enable entrepreneurs to fundamentally change how value is captured or allocated,” Dediu writes. “…The biggest change in business model was the addition of services.”

Read more in the full article here.

MacDailyNews Take: Someday, someway, it would be nice for Apple to be properly valued by the market.

Apple has an installed base of 1.3 billion devices. When that number finally sinks in on Wall Street, hopefully sooner than later, Apple shareholders will benefit. — MacDailyNews, November 13, 2018

Apple’s Services business is a tremendous machine that hasn’t yet even begun to gallop.MacDailyNews, May 3, 2017

Jefferies: Buy Apple stock for ‘massive’ services potential built on ‘stable iPhone business’ – November 2, 2018
Apple to stop reporting iPhone, Mac, and iPad quarterly unit sales – November 1, 2018
Apple beats Street with another record-breaking quarter – November 1, 2018
Morgan Stanley: Buy Apple shares on the ‘emerging power’ of its services – May 24, 2018
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


  1. Imagine if Apple had put a bit more emphasis on market share and not just profit margins. Android OS wouldn’t have just up and run away with nearly the entire smartphone platform. Now it’s come to the point where many Android smartphone manufacturers believe they have a very high chance of ruining Apple’s iPhone business. Apple foolishly priced itself out of the global smartphone business and there was no reason to let that happen except maybe for Apple’s arrogant attitude. Apparently, most consumers aren’t fighting to own an iPhone anymore.

    Why does MDN believe that somehow the market is going to eventually realize Apple’s value? I think that’s a very foolish hope. Microsoft is now worth $100B more than Apple and Microsoft should easily be able to hold that value while Apple will continue to struggle to hold its current value. Apple continues to make poor business choices as far as Wall Street is concerned. Apple (Tim Cook) doesn’t actually instill investor confidence and without solid iPhone sales in China, Apple has no chance at all in regaining its former value. Tim Cook doesn’t seem to be taking proper advantage of that mountain of cash.

    Apple is now considered a low- to no-growth business on Wall Street while for Amazon and Microsoft, the sky is the limit in terms of growth. Growth is what really excites greedy investors and Apple makes investors yawn.

    1. Well, wouldn’t you know, here we are 6 months later and Apple is once again back as Number on the stock market and revenue and profits just keep growing.

      1.5 billion active devices out of which about 1.25 billion are iOS devices compared to Google’s 2 billion active Android devices (phones and tablets). Then there is the 80% – 100% of the profits of the entire Mobile industry being regularly captured by Apple. Looks like Apple’s doing more than well enough to me on the metrics that matter.

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