Services have become a huge element to Apple’s business plan, and it looks like it’s definitely paying off.
As part of today’s fiscal fourth quarter earnings, Apple announced that its Services category, which includes the App Store, Mac App Store, Apple Music, iCloud, AppleCare, and Apple Pay, has reached an all-new all time high of $10 billion in revenue. To compare that to the fourth quarter of 2017, Apple’s services effort has increased by 17% year-over-year.
According to Apple’s CEO, Tim Cook, Apple services 330 million Apple customers, and that several of the individual areas, including Apple Music, Apple Pay, and AppleCare, all reached their own all-time revenue records. Apple Pay, for instance, saw triple the transactions compared to last year. Apple Pay apparently handled significantly more transactions than PayPayl’s mobile effort, and is growing four times faster.
Apple hit another milestone, too, with Apple Pay now supported at 60% of all retailers in the United States. And Apple also revealed that Apple Pay is now supported by 71 out of 100 major U.S.-based retailers.
One last note: Apple wants to reach $20 billion per quarter from its Services division — which feels right on target.