Apple CEO Tim Cook told Reuters in an interview Thursday that the increased R&D spending was in part driven by work on generative AI, the same field that is driving spending at other big technology companies.
Apple’s research and development spending also hit $22.61 billion for the fiscal year so far, about $3.12 billion higher than at this point in the previous year.
Apple Chief Executive Officer Tim Cook told Reuters in an interview that the increased R&D spending was in part driven by work on generative artificial intelligence, the same field that is driving spending at other big technology companies.
“We’ve been doing research across a wide range of AI technologies, including generative AI, for years. We’re going to continue investing and innovating and responsibly advancing our products with these technologies to help enrich people’s lives,” Cook said. “Obviously, we’re investing a lot, and it is showing up in the R&D spending that you’re looking at.”
In the meantime, Apple appeared to outperform what has been the weakest smartphone market in China in almost a decade. Overall smartphone sales declined 8% in China in the calendar second quarter to their lowest levels since 2014, according to Counterpoint Research. By contrast, Cook told Reuters that Apple’s iPhone sales in China grew by “double digits” and that sales were also high in other segments in China.
That helped Apple push sales in its greater China region to $15.76 billion, from $14.60 billion in last year’s same quarter.
“This was really done by attracting a quarterly record of switchers to the iPhone, as well as having a strong upgrader activity,” Cook said. “We also set quarterly records in China for both wearables, home and accessories, and services.”
Apple said iPhone sales were $39.67 billion, below analyst expectations of $39.91 billion, according to Refinitiv data. Cook said the installed base of iPhones hit a new high…
MacDailyNews Take: Obviously, by missing the never-right, perennially confused analysts’ randomly set bar for iPhone revenue by 0.6% while taking share from the iPhone knockoff Android peddlers virtually everywhere on the planet, Apple is DOOMED! (smirk)
We want to meet some of these idiots who sold their Apple shares today as we have several bridges for sale.
Interns: Tap That Keg™! Prost, everyone! 🍻🍻🍻
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[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]
As Steve Jobs said, too much R&D with little to show for it is a failure.
There is very little that is innovative coming out of Apple. But Vision Pro!
Ya, nobody wants or needs to wear ski goggles and look at Web browser windows floating in front of a fireplace.
Sounds like the Microsoft Surface original version. “Look at us, we’ve got great technologies, we’re going to blow your mind with what’s next because we’ve been at work for a long time.”
Meanwhile, the current implementation is sitting on the floor strumming its blubbering lips, unable to think its way past two ideas at a time.
Microsoft’s HoloLens is and remains an abject failure. It is currently failing soldiers. You know a product goes to die when it starts as a consumer product and grows up to become an enterprise product no enterprise wants. No wonder Kipman allegedly started harassing women and got kicked out of Microsoft permanently.