Apple posts a record year while leaning on partners for AI
Original title: Apple is all in on AI — its own and everyone else’s
iPhone revenue hit $57.6 billion and Mac sales rose 24%, while Apple spent $2.2 billion on capital expenditures last quarter.
Apple reported its best fiscal year for revenue and earnings per share, with strong September-quarter iPhone and Mac sales. Executives said AI gives customers a reason to upgrade and that server-side features, including Siri AI, will have usage limits that customers can later pay to expand. Apple combines on-device processing, its own servers and outside models, including Gemini for Siri, and spent far less on capital expenditures than Amazon or Alphabet. Shares fell after Apple warned that memory costs would squeeze holiday-quarter margins.
Unconfirmed: Apple has not disclosed how much revenue growth reflects AI demand, and plans to offer outside AI providers were described as reported.
- iPhone revenue rose 17.5% year over year to $57.6 billion.
- Mac revenue climbed 24% to $10.8 billion, a four-year high.
- Quarterly capital expenditures were $2.2 billion, versus much higher peer totals.
- Siri AI reached US English beta in September and more languages in October.
- The Wall Street Journal cited a claim of over $1 billion in 2026 App Store AI fees.
- Organizations
- OpenAIGapChristie's
- AI models
- Gemini
From the original article
4 min read at theverge.com
Apple's latest earnings show how it's continuing to capitalize on the AI boom without busting its budget on the infrastructure spending consuming its competitors. Overall, Apple posted its best-ever fiscal year for revenue and earnings per share. iPhone and Mac sales continued to grow strongly in the fourth quarter.
By Rani Molla · theverge.com
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