newappstorelogoApple's services category, which includes the App Store, iTunes Store, Apple Music, Apple Pay, AppleCare, iCloud, licensing, and other services, set an all-time quarterly record revenue in the fourth fiscal quarter of 2017.

During the quarter, the services category brought in $8.5 billion, up from $6.3 billion in the year-ago quarter for an impressive 34 percent growth.

Apple's services category is the size of a Fortune 100 company, a milestone Apple hit earlier this year. Apple often attributes much of the growth of its services category to the App Store, and that continues to be the case this quarter.

iOS 11 brought an entirely new App Store experience that splits Games and Apps into separate tabs and introduces a new "Today" section that allows Apple to better highlight the wide variety of apps that are available in the App Store, offering up a range of editorial picks to improve app discovery. Apple says the new design has increased customer visits, the number of apps downloaded, and the amount of time customers spend in the store.

The iOS 11 update also introduced ARKit, making the iPhone and the iPad the largest augmented reality platform in the world. There are already more than 1,000 ARKit apps available for download from the App Store.

Apple Music revenue also "grew strongly" during the quarter, with 75% growth in subscribers year-over-year, and iCloud also saw "double-digit growth" when it comes to monthly average users and revenue. Apple has 210 million paid subscriptions across all its services category, up 25 million in 4Q 2017 alone.

Apple is aiming to double its 2016 services revenue by 2020, and Apple CEO Tim Cook this afternoon said the company is well on its way to hitting that goal.

Related Forum: Mac Apps

Top Rated Comments

kylew1212 Avatar
49 months ago
What are those services supporting, ya think?
I don’t see many people signing up for iCloud storage if they don’t own an iPhone to back up to it from.
[doublepost=1509659411][/doublepost]Guess this means they won’t be dropping the price of iCloud storage anytime soon. Maybe after they finish that data center. One can hope.
iCloud pricing is not that bad, compared to other services.. But it's nice when they drop the price.
Score: 2 Votes (Like | Disagree)
Relentless Power Avatar
49 months ago
Apple is clearly emphasizing on their services and it's continued growth is showing. Excellent work.
Score: 1 Votes (Like | Disagree)
Strelok Avatar
49 months ago
Apple is clearly emphasizing focus on their services and it's continued growth is showing. Excellent work.
Might make the “Apple is only an iPhone company and is doomed” crowd shut up for once.
Score: 1 Votes (Like | Disagree)
Relentless Power Avatar
49 months ago
Might make the “Apple is only an iPhone company and is doomed” crowd shut up for once.
Probably not on Macrumors, there's always someone complaining on here that "Apple Doesn't know what they're doing" or "Cook should be fired."But the headline says it all and their continued success is reflective of their numbers.
Score: 1 Votes (Like | Disagree)
Johnny907 Avatar
49 months ago
Might make the “Apple is only an iPhone company and is doomed” crowd shut up for once.
What are those services supporting, ya think?
I don’t see many people signing up for iCloud storage if they don’t own an iPhone to back up to it from.
[doublepost=1509659411][/doublepost]Guess this means they won’t be dropping the price of iCloud storage anytime soon. Maybe after they finish that data center. One can hope.
Score: 1 Votes (Like | Disagree)

Top Stories

REC ASA CODE2016 20160601 205816 2745

Elon Musk Reportedly Demanded to Become Apple CEO as Part of Potential Tesla Acquisition [Update: Musk Denies]

Friday July 30, 2021 9:04 am PDT by
Tesla CEO Elon Musk reportedly once demanded that he be made Apple CEO in a brief discussion of a potential acquisition with Apple's current CEO, Tim Cook. The claim comes in a new book titled "Power Play: Tesla, Elon Musk and the Bet of the Century," as reviewed by The Los Angeles Times. According to the book, during a 2016 phone call between Musk and Cook that touched on the possibility of ...
General Apps Messages

Android iMessage Competitor Puts Pressure on Apple

Friday July 30, 2021 3:15 am PDT by
Google and the three major U.S. carriers, including Verizon, AT&T, and T-Mobile, will all support a new communications protocol on Android smartphones starting in 2022, a move that puts pressure on Apple to adopt a new cross-platform messaging standard and may present a challenge to iMessage. Verizon recently announced that it is planning to adopt Messages by Google as its default messaging...
Apple watch series 5 new case material made of titanium 091019

Titanium Apple Watch Series 6 Models Currently Widely Unavailable

Sunday August 1, 2021 6:21 am PDT by
Models of the Apple Watch Series 6 with titanium cases part of the "Apple Watch Edition" collection is currently widely unavailable for pick-up in several of Apple's retail stores in the United States and is unavailable entirely for delivery in major markets. Noted by Bloomberg's Mark Gurman in the latest edition of his "Power On" newsletter, titanium models of the Apple Watch Series 6,...
ifixit iphone12 mini

Apple to Make Space for Larger Batteries in iPhones, iPads, and MacBooks By Adopting Slimmer Peripheral Chips

Monday August 2, 2021 2:12 am PDT by
For future iPhones, iPads, and MacBooks, Apple plans to use smaller internal components in an effort to increase the size of the device's battery, according to DigiTimes. Image Credit: iFixit Specifically, Apple plans to "significantly increase the adoption" of IPDs or integrated passive devices for the peripheral chips in its products. These news chips will be slimmer in size and allow for...
Flat 2021 MacBook Pro Mockup Feature

Unreleased Apple Macs and Apple Watches Listed in Eurasian Database Ahead of Fall Product Launches

Monday August 2, 2021 9:34 am PDT by
Apple is preparing for a slew of fall product launches according to new filings that showed up today in the Eurasian Economic Commission database. There are listings for new Mac and Apple Watch models, all of which have previously unknown model identifiers that indicate that they're upcoming devices. There are six new Apple Watch identifiers, including A2473, A2474, A2475, A2476, A2477, and...
a15 chip

iPhone 13 and Redesigned MacBook Pro Chip Production Hit With Gas Contamination

Friday July 30, 2021 5:44 am PDT by
The most important TSMC factory that manufactures Apple's chips destined for next-generation iPhone and Mac models has been hit by a gas contamination, according to Nikkei Asia. The factory, known as "Fab 18," is TSMC's most advanced chipmaking facility. TSMC is Apple's sole chip supplier, making all of the processors used in every Apple device with a custom silicon chip. Industry...
iPhone 13 Wi Fi 6E feature update

Wi-Fi 6E Explained: What It Could Mean for iPhone 13 and Beyond

Monday August 2, 2021 8:00 am PDT by
The iPhone 13 is widely expected to come with Wi-Fi 6E capabilities, and while it may seem rather nuanced to the average consumer, with only improved speeds and being "up to date" in the realm of Wi-Fi technology, it's actually a fairly significant improvement, laying the groundwork for much of what we know the future holds. To truly understand Wi-Fi 6E, MacRumors sat down for an exclusive...
youtube premium lite

YouTube Tests Cheaper 'Premium Lite' Subscription for Ad-Free Viewing

Monday August 2, 2021 3:22 am PDT by
YouTube is piloting a new cheaper subscription tier in Europe called "Premium Lite," which offers ad-free viewing minus YouTube Premium's other features. First spotted by a user on ResetEra and subsequently confirmed by Google, the "Lite" plan means users who aren't interested in offline downloads or background playback can still enjoy YouTube videos on web and mobile app without being...
iPhone 13 Always On Feature

iPhone 13 to Bring Over a Major Feature From the Apple Watch

Wednesday July 28, 2021 2:21 am PDT by
Apple's upcoming iPhone 13 lineup will feature an always-on display akin to the Apple Watch Series 5 and Series 6, according to recent reports. In his weekly Power On newsletter, Bloomberg journalist Mark Gurman, who often reveals accurate insights into Apple's plans, said that the iPhone 13 may feature an Apple Watch-inspired always-on mode. The Apple Watch Series 5 and Apple Watch...
COVID19 Digital Wallet Apple Wallet

Australian Government Now Offering COVID-19 Digital Vaccination Certificates for Apple Wallet

Monday August 2, 2021 12:04 am PDT by
The Australian government has introduced support for adding COVID-19 vaccination digital certificates to Apple Wallet via the Express Plus Medicare app on iOS. Image credit: Tap Down Under As spotted by Tap Down Under, users who have received two doses of either the AstraZeneca or Pfizer vaccine now have access to the digital certificate through their Medicare online account or via the Medica...