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ludwigschubert | 1 year ago

> far, far more money from services […] than from hardware.

Q1 2024 Share of Apple's revenue by product category:

Services: 19.33% Hardware: 80.67%

(Hardware breakdown: iPhone: 58.29% Mac: 6.51% iPad: 5.87% Wearables, home, accessories: 10%)

Though I’d love to know how that breaks down for actual profit, and likely they expect services revenue to grow more than hardware in the future?

https://www.statista.com/statistics/382260/segments-share-re...

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pjerem|1 year ago

While op was a little exaggerating with service revenues, his points still stand. The thing is Apple is not selling you a computer but an ecosystem. Their products are all meant to work together and this is only possible with their software.

Running macOS as your daily driver makes buying an iPhone a very easy choice. It’s hundreds of little things like using your iPhone camera as a scanner from Finder on your Mac to scan a paper to the current folder, unified clipboard, using your Apple Watch to lock your screen when you leave your computer, having your AirPods automagically switch from iPhone to Mac when you start a video and instantly switch back to your phone and pause your video when you answer a call … and that’s only the tip of the iceberg.

Apple software is made to make you buy other Apple hardware so running Linux is pretty much not interesting for them. I’m positively surprised it’s even possible.

Services are only the cherry on the cake, you subscribe to them when you are already tied to the ecosystem because they became pretty obvious. And Apple is smart enough to not force them down your throat like Microsoft.

So yeah, it’s really important for Apple to keep you on their software if they want to sell you more hardware.

sumuyuda|1 year ago

With the exception of the iPhone, the rest of the hardware is around 20%, same amount as the services.

fader|1 year ago

Yeah, I realized after I posted that I wasn't clear that I was referring to computer hardware. The iPhone dwarfs everything else that they sell.