Apple reports record services revenue, iPhone sales drop in Q3 2023

The company says it's reached one billion paid subscriptions

Apple logo

Apple’s services revenue hit a record high in the June quarter, the tech giant announced in its Q3 2023 earnings report.

This division, officially called ‘Services,’ includes platforms like Apple TV+, Apple Music and iCloud. In Q3, Services brought in $21.21 billion USD ($28.32 billion CAD), up eight percent year-over-year. Altogether, Apple says it’s reached one billion paid subscriptions.

Meanwhile, the company’s iPhone division dipped by two percent this quarter compared to one year prior for a total of $39.67 billion USD ($52.97 billion CAD). It should be noted that this summer period is generally a quieter one for Apple, especially as September traditionally marks the release of the new iPhone flagship. This year, that will be the iPhone 15 series.

Mac and iPad revenues were also down eight and 20 percent year-over-year, respectively. However, these slumps are also understandable considering the only new Macs we’ve recently gotten are the refreshed Mac Studio and 15-inch MacBook Pro, while there hasn’t been a new iPad in a while. It remains to be seen whether Apple will launch any other new hardware this fall alongside the iPhone 15 series.

Overall, Apple reported revenue of $81.8 billion USD ($109.2 billion CAD), down from $83 billion USD ($110.8 billion CAD) last year.

Image credit: Shutterstock

Source: Apple