For the first fiscal nine months of the year, Apple CEO Tim Cook said iTunes software and services were the fastest growing part of Apple's business. iTunes billings grew 25 percent year over year to an all time quarterly high, largely due to the App Store.
In the third quarter, iTunes generated $4.5 billion in revenue, an increase of 12 percent year over year. There have been 75 billion cumulative App Store downloads, and Apple has now paid a total of $20 billion to developers. In January of 2014, Apple had paid out $15 billion, meaning $5 billion of that total has been paid out in 2014 alone.
During the call, Tim Cook said that he expects iOS 8 with more than 4,000 APIs and the company's new developer language, Swift, to result in significant growth and improvement for apps and the App Store.
Overall, Apple posted revenue of $37.4 billion and a net quarterly profit of $7.7 billion, or $1.28 per diluted share, compared to revenue of $35.3 billion and net quarterly profit of $9.5 billion ($1.07 per diluted share) in the year-ago quarter. Year over year, Apple's revenue is up 6 percent and its profit is up 12 percent.