Apple's Wearable Business is the Size of a Fortune 300 Company

Tuesday May 1, 2018 3:43 PM PDT by Juli Clover
Apple's "Other Products" category, which includes AirPods, Apple TV, Apple Watch, HomePod, Beats products, iPod touch, and other Apple-branded and third-party accessories brought in nearly $4 billion in revenue, up an impressive 38 percent compared to the year-ago quarter that brought in $2.9 billion in revenue.

According to Apple CEO Tim Cook, the Apple Watch, one of the most lucrative products in the "Other" category, saw strong revenue growth "in the double digits" year-over-year, setting a March quarter revenue record. Apple does not break down "Other" product sales, so specific numbers on Apple Watch sales are unavailable.


Cook described AirPods, another popular "Other" product as a "runaway hit" that the company is still working to keep in stock.

Wearables saw a combined revenue increase of almost 50 percent year over year, which includes AirPods, Beats, and Apple Watch. Cook said that Apple's wearables business is now the size of a Fortune 300 company.

Cook didn't have much to say about the HomePod, which is also in the "Other" category, but he said that he believes it is a "breakthrough" speaker that will change the way we listen to music.

Apple is "looking forward" to adding new features to the HomePod and introducing it to more markets soon, but he gave no timeline for these updates.

46 comments

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Relentless Power
24 months ago

I have yet to see anyone with a watch. AirPods are far more prevalent.


I don’t know where you live or how often you get out, but I see the Apple Watch absolutely everywhere. Compared to where it was in 2015 of April to where it is today, I see the Apple Watch a minimum of 10 times a day. There is a reason they have crushed the competition around them with the band customization, the health related features, Apple Pay and the convenience of the notifications.
Rating: 11 Votes
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chabig
24 months ago

I have yet to see anyone with a watch.

Perhaps that says more about your social situation than about the Watch. They are all over. LOL.
Rating: 8 Votes
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nfl46
24 months ago
MacRumors users told me a couple of years ago that the Apple Watch was a flop. Lol.

Fast forward to 2018, you see Apple Watches everywhere.
Rating: 7 Votes
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MonstaMash
24 months ago

I have yet to see anyone with a watch. AirPods
are far more prevalent.

Really? I was at Disneyland the other day, and it seemed like almost every wrist had an Apple Watch on it. I'm talking about seeing thousands of people wearing it during the afternoon I visited.

As a side note, it's a shame that Disney didn't integrate their Fast Pass system with Apple Watch, as it would be a much better user experience than pulling out a phone to scan.
Rating: 6 Votes
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gugy
24 months ago
I was skeptical of the AW. I waited to Series 2 to jump in. I love it.
Not about the design per se but the features it offers. I am an avid swimmer and the watch took my fitness to new levels. Well done Apple.
Rating: 4 Votes
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bluecoast
24 months ago

I don’t know where you live or how often you get out, but I see the Apple Watch absolutely everywhere. Compared to where it was in 2015 of April to where it is today, I see the Apple Watch a minimum of 10 times a day. There is a reason they have crushed the competition around them with the band customization, the health related features, Apple Pay and the convenience of the notifications.


Agree.

Using my unscientific method:

‘how frequently do I see product y in London everyday on the tube’

My answer is ‘it’s a hit’.

You see people with the watch all the time, just as much as when the iPod and iPhone became massive hits and it seemed that every other person had one on the tube around 2004 & 2010, respectively.
Rating: 3 Votes
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szw-mapple fan
24 months ago

As a public company Apple should be forced to release a breakdown of sales by product so we can all see exactly how well each product is doing.


That makes no sense. A public company is not a government agency. Why should they be obligated to breakdown sales?
Rating: 2 Votes
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GrumpyMom
24 months ago
Apple Watch LTE is the only Apple Product I currently own that I think is the best it can be with the current state of the technology. In other Apple products I can see where Apple let some areas slide. But with the watch, LTE model especially, they really stayed on top of their game. That’s just my humble opinion. I know some folks would beg to differ and say it should be slimmer and look different by now. I’m just giving a woman’s point of view because I have looked at so many other wearables to pair with my Android phone. I have found nothing that can touch my Apple Watch, not for a small woman with small wrists anyway.

It’s astonishing that I can make calls on this pretty little watch. I had a Samsung watch that I could make calls on, too, without a phone nearby. But it was huge and uncomfortable in hot weather.

They can perhaps expand the fitness apps a bit more, to match the community encouragement aspect that Fitbits offer, like what Nike Run Club does for runners, but for the more casual walking and light aerobics crowd like me and other pudgy middle aged people trying to get into shape. But at least the technology is already there.
Rating: 2 Votes
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69650
24 months ago
As a public company Apple should be forced to release a breakdown of sales by product so we can all see exactly how well each product is doing.
Rating: 2 Votes
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coachgq
24 months ago

This is not surprising, AirPods are popular and go into an Apple store and all anyone seems to be buying is Apple Watches.

The Apple TV is overpriced though, especially the 4K model which really should have just replaced the 1080P one, instead they saw a ma gin to make more money.


$105 using the directv now method is not overpriced.
Rating: 2 Votes
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