The company announced on Thursday (29) financial results that exceeded Wall Street expectationsdriven mainly by the iPhone 17. A revenue reached US$ 143.8 billion in the quartercompared to US$ 124.3 billion in the same period of the previous year. Meanwhile, the iPhone recipe reached US$85.3 billionexceeding analysts’ expectations of US$78.2 billion for the quarter.
Os , released in September. And the stakes were high: Apple has been widely seen as lagging behind in AI, which adds pressure for key products like the iPhone to succeed.
Apple also announced that there is now 2.5 billion Apple devices in use globally. CEO Tim Cook told analysts on Thursday that the company has seen a record number of iPhone upgrades and double-digit growth in “switchers,” users who switched from Android to the iPhone. Revenue in China, a market where Apple has struggled, also grew to $25.5 billion in the quarter, compared with $18.5 billion a year earlier.
“Demand for the iPhone was just overwhelming,” Cook said.
The results come after a challenging 2025 for Apple. Last year, the company faced tariffs and a high-profile delay in its revamped version of Siri, which Cook said on the conference call will arrive this year. Apple and Google recently announced that the search giant’s AI and cloud technology will power the iPhone maker’s AI models, including the upcoming Siri.
Despite solid results, Apple still faces challenges. Manufacturers are directing resources toward creating memory for data centers rather than consumer products like smartphones, creating a memory shortage in the technology sector.
Cook said Apple is currently “constrained” and that it is “difficult to predict when supply and demand will balance.” He added that the memory shortage had a “minimal impact” in the December quarter but could be more noticeable in the current quarter.
A, but demand for the iPhone Air has been moderate, according to data from Consumer Intelligence Research Partners. And while the partnership with Google signals that Apple is making progress in AI, it will still face pressure to show how it will use AI in new products.
When asked when Apple plans to profit from AI, Cook said that artificial intelligence “opens up a number of opportunities” across all of the company’s “products and services.”
He added that the company is “very happy” with its deal with Google. Apple did not share further details about the partnership, which Cook said should be viewed as a “collaboration.”
