iPhone 13 sales are booming according to Daniel Ives of Wedbush analytic. Apple enjoyed very strong iPhone sales in December thanks to the 13 lineup. Furthermore Apple’s huge services business grew to a whopping $1.5 trillion dollars.
Apple warned in its last investor call that sales figures might be held back by supply chain difficulties. Specifically the global semi-conductor shortage. But it seems that the company has managed to defy gravity at least to some extent if Ives report is accurate. But Ives does note continued difficulties in the supply chain.
Based on our supply chain checks over the last few weeks, we believe demand is outstripping supply for Apple by roughly 12 million units in the December quarter which now will add to the tailwinds for Cupertino in the March and June quarters as the supply chain issues ease in 1H22Daniel Ives via Ped.30.com
Apple’s services business is largely immune to supply chain constraints and it seems the tech giant continues to unlock huge revenues from its loyal customer base. It’s no denying that the Apple ecosystem is a cash cow, buoyed by unwavering customer loyalty. Aside from the various antitrust cases that Apple is fighting around the world, it’s hard to see how this revenue source can be restrained.
The Services business is further monetizing the Apple golden installed base and poised to reach $100 billion+ annual revenue by 2024.Daniel Ives via Ped.30.com
Apple is on its way to becoming the first 3 trillion-dollar company in the world. It already holds the records of being the first 1 trillion and 2 trillion-dollar company. And with results like those estimates by Ives, it isn’t hard to see why. I think investors will be very happy when Apple announces its 2022 Q1 results.
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