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Wow - Services grew 27% year-on-year to $10bn! For comparison, AWS made about $6.8bn in Q3. That's bananas. And it's more than just Apple Music / iCloud storag

Wow - Services grew 27% year-on-year to $10bn! For comparison, AWS made about $6.8bn in Q3. That's bananas. And it's more than just Apple Music / iCloud storage; it's the "ecosystem lock-in" and the glue that keeps folks from bouncing away from Apple hardware. Congrats to the team!

FireBeyond 8y ago
"Congrats to the team" for their effective "ecosystem lock-in"? Congrats to them for effecting a 30% tax? "Please sir, may I have another?"
- Gorbzel 8y ago
  Congrats for actually creating an ecosystem worth using.
  - drb91 8y ago
    ...for some people, for some ends.
    - lucisferre 8y ago
      Yeah, we get it, people who don't use Apple products exist. Not particularly relevant to the discussion though.
      - drb91 8y ago
        It’s still worth noting that apple does not meet every need if people are making carte blanche value statements.
        inscionent 8y ago
        Very true. The comment that started this branch just derailed the conversation by mocking apple developers/users, but if phrased as the first part of your statement, could have been useful discourse.
        drb91 8y ago
        I think the conversation was derailed plenty by offering congratulations to people for successfully making money.
      - JaggerFoo 8y ago
        Moron
- jimbokun 8y ago
  Yes, I'm long AAPL.
ariwilson 8y ago
Isn't that increase primarily charging Google more for exclusive search access (e.g. "platform tax")? http://fortune.com/2018/09/29/google-apple-safari-search-engine/ http://fortune.com/2018/09/29/google-apple-safari-search-eng...
- Steko 8y ago
  Apple Music has gotta be a big chunk of the increase. It was at 17 million subscribers in Sep-17 and was at 50 million in May-18 so that's +$1B a quarter right there.
tanilama 8y ago
It depends on what counts as services...
soccerdave 8y ago
Amazon really missed the boat when they came out with their crappy phone attempt. They could have invested more money and made some decent hardware instead of trying to do something gimmicky. They still haven't really learned though by launching poorly designed Kindle Fires with low res screens that lag a bunch. I wonder how different it would be if Amazon had launched a device like the Pixel as a phone.
- ambicapter 8y ago
  Maybe, and this is just a guess, making good hardware isn't actually that easy? Did they hire any pros or did they try to build the knowhow internally?
  - ksec 8y ago
    It really is easy, comparatively speaking with the current Shenzhen ecosystem. The problem with Amazon is exactly the same as Microsoft had in the 90s. They have no taste, and not in a small way but very big ways.
innagadadavida 8y ago
Services story is amazing. An area Apple could grow is host backend services for the 2M+ app developers out there.
gordon_freeman 8y ago
iPhone sales account for just 59% of overall revenue now. That's impressive figure the way Apple is diversifying its business from Hardware-focused to now Services-focused. By comparison, Google Search still accounts for around 86% of its revenues. Well done, Apple!

FireBeyond 8y ago

"Congrats to the team" for their effective "ecosystem lock-in"? Congrats to them for effecting a 30% tax? "Please sir, may I have another?"

Gorbzel 8y ago
Congrats for actually creating an ecosystem worth using.
- drb91 8y ago
  ...for some people, for some ends.
  - lucisferre 8y ago
    Yeah, we get it, people who don't use Apple products exist. Not particularly relevant to the discussion though.
    - drb91 8y ago
      It’s still worth noting that apple does not meet every need if people are making carte blanche value statements.
      - inscionent 8y ago
        Very true. The comment that started this branch just derailed the conversation by mocking apple developers/users, but if phrased as the first part of your statement, could have been useful discourse.
        drb91 8y ago
        I think the conversation was derailed plenty by offering congratulations to people for successfully making money.
    - JaggerFoo 8y ago
      Moron
jimbokun 8y ago
Yes, I'm long AAPL.

ariwilson 8y ago

Isn't that increase primarily charging Google more for exclusive search access (e.g. "platform tax")? http://fortune.com/2018/09/29/google-apple-safari-search-engine/ http://fortune.com/2018/09/29/google-apple-safari-search-eng...

Steko 8y ago
Apple Music has gotta be a big chunk of the increase. It was at 17 million subscribers in Sep-17 and was at 50 million in May-18 so that's +$1B a quarter right there.

tanilama 8y ago

It depends on what counts as services...

soccerdave 8y ago

Amazon really missed the boat when they came out with their crappy phone attempt. They could have invested more money and made some decent hardware instead of trying to do something gimmicky. They still haven't really learned though by launching poorly designed Kindle Fires with low res screens that lag a bunch. I wonder how different it would be if Amazon had launched a device like the Pixel as a phone.

ambicapter 8y ago
Maybe, and this is just a guess, making good hardware isn't actually that easy? Did they hire any pros or did they try to build the knowhow internally?
- ksec 8y ago
  It really is easy, comparatively speaking with the current Shenzhen ecosystem. The problem with Amazon is exactly the same as Microsoft had in the 90s. They have no taste, and not in a small way but very big ways.

innagadadavida 8y ago

Services story is amazing. An area Apple could grow is host backend services for the 2M+ app developers out there.

gordon_freeman 8y ago

iPhone sales account for just 59% of overall revenue now. That's impressive figure the way Apple is diversifying its business from Hardware-focused to now Services-focused. By comparison, Google Search still accounts for around 86% of its revenues. Well done, Apple!