Apple’s AI strategy pays off as revenue reaches a fiscal-year high
Apple has emerged as one of the major AI beneficiaries without committing its budget to the infrastructure spending that has weighed on competitors. Its latest results show continued growth across its core hardware business: iPhone revenue increased 17.5% year over year to a September-quarter record of $57.6 billion, while Mac revenue rose 24% to $10.8 billion, its highest level in four years.
Overall, Apple posted its best-ever fiscal year for revenue and earnings per share. The results suggest that the company is finding ways to capitalize on demand for AI while keeping capital expenditure comparatively restrained.
The near-term outlook is not entirely clear. Apple warned that rising memory costs could squeeze profit margins during the holiday quarter, and its shares fell in premarket trading after the warning.