Apple's Services Revenue Hits All-Time High of $15.8B Billion in Q1 2021

by

Apple's services category, which includes the App Store, Mac App Store, Apple Music, Apple Pay, AppleCare, Apple TV+, Apple Arcade, Apple News+, Apple Fitness, and more, saw significant growth in the first fiscal quarter of 2021 (fourth calendar quarter of 2020).

appleservices
According to Apple's latest earnings report, the services segment brought in $15.8 billion, up from $12.7 billion in the year-ago quarter.

Apple now has more than 620 million paying subscribers, reaching a goal that it set to have 600 million by the end of 2020. The ‌App Store‌, iCloud services, ‌Apple Music‌, ‌AppleCare‌ and payment services all saw all-time revenue records, with new services like ‌Apple TV‌+, ‌Apple Arcade‌, ‌Apple News‌+, Apple Card, Apple Fitness+ and Apple One also contributing to services growth, as has ‌Apple Pay‌. ‌Apple Pay‌ is now accepted at 90 percent of retail locations in the U.S.

Across 2020, the ‌App Store‌ grossed more than $64 billion according to a recent report from CNBC. That's up from an estimated $50 billion in 2019. Apple does not confirm ‌App Store‌ sales number, but Apple earlier this month said that $200 billion has been paid out to developers since 2008, a figure that's up $45 billion from the numbers provided in January 2020.

Late in 2020, Apple introduced its ‌Apple One‌ services bundles that pair up services like ‌Apple Music‌‌, ‌‌Apple Arcade‌‌, and ‌‌Apple TV‌+‌ at reduced prices, and it unveiled Apple Fitness+, a $9.99 per month service that provides guided home workout options to Apple Watch owners.

Tag: Earnings

Popular Stories

iPhone 17 Pro Blue Feature Tighter Crop

iPhone 17 Pro Launching in Three Months With These 12 New Features

Saturday June 14, 2025 5:45 pm PDT by
The iPhone 17 Pro and iPhone 17 Pro Max are three months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of June 2025:Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone X through iPhone 14 Pro have a...
Read Full Article • 209 comments
apple watch ultra 2 new black

Apple Watch Ultra 3 Finally Coming After Two-Year Hiatus

Monday June 16, 2025 8:45 am PDT by
Apple will finally deliver the Apple Watch Ultra 3 sometime this year, according to analyst Jeff Pu of GF Securities Hong Kong (via @jukanlosreve). The analyst expects both the Apple Watch Series 11 and Apple Watch Ultra 3 to arrive this year (likely alongside the new iPhone 17 lineup, if previous launches are anything to go by), according to his latest product roadmap shared with...
Read Full Article • 104 comments
apple watch ultra snow

6 Features Coming to the Apple Watch Ultra 3

Tuesday February 25, 2025 9:00 am PST by
The Apple Watch Ultra 3 is expected to launch later this year, arriving two years after the previous model with a series of improvements. While no noticeable design changes are expected for the third generation since the company tends to stick with the same Apple Watch design through three generations before changing it, there are a series of internal upgrades on the way. By the time the ...
Read Full Article • 201 comments
terminal macos tahoe

Apple's Terminal App Gets Colorful Redesign in macOS Tahoe

Monday June 16, 2025 4:12 am PDT by
Apple's Terminal app is getting a visual refresh in macOS Tahoe, and it's the first notable design update since the command-line tool debuted. The updated Terminal will support 24-bit color and Powerline fonts, according to Apple's State of the Platforms presentation at WWDC25. The app will also adopt the new Liquid Glass aesthetic with redesigned themes that align with macOS 26's broader...
Read Full Article • 81 comments
Logitech Logo Feature

Logitech Announces Two New Accessories for WWDC

Friday June 13, 2025 7:22 am PDT by
Alongside WWDC this week, Logitech announced notable new accessories for the iPad and Apple Vision Pro. The Logitech Muse is a spatially-tracked stylus developed for use with the Apple Vision Pro. Introduced during the WWDC 2025 keynote address, Muse is intended to support the next generation of spatial computing workflows enabled by visionOS 26. The device incorporates six degrees of...
Read Full Article • 24 comments
iPadOS 26 App Windowing

Apple Explains Why iPads Don't Just Run macOS

Friday June 13, 2025 7:46 am PDT by
iPadOS 26 allows iPads to function much more like Macs, with a new app windowing system, a swipe-down menu bar at the top of the screen, and more. However, Apple has stopped short of allowing iPads to run macOS, and it has now explained why. In an interview this week with Swiss tech journalist Rafael Zeier, Apple's software engineering chief Craig Federighi said that iPadOS 26's new Mac-like ...
Read Full Article • 256 comments
iphone 16 pro models 1

17 Reasons to Wait for the iPhone 17

Thursday June 12, 2025 8:58 am PDT by
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we often get rumored features months ahead of launch. The iPhone 17 series is no different, and we already have a good idea of what to expect from Apple's 2025 smartphone lineup. If you skipped the iPhone...
Read Full Article • 69 comments

Top Rated Comments

TVreporter Avatar
TVreporter
57 months ago
Hey Epic Games, guess Apple is really missing Fortnite.
Score: 4 Votes (Like | Disagree)
MacGizmo Avatar
MacGizmo
57 months ago

Apple Pay is now accepted at 90 percent of retail locations in the U.S.
I find this very, very, VERY difficult to believe. I live in one of the largest cities in the U.S. and I'm hard-pressed to find more than a handful or two of companies that accept Apple Pay.


I'd really like to see a more detailed breakdown across the "services".
They'll never tell us, because Google accounts for the vast majority of that $16 billion... like, close to $12 billion, to be the default search engine.
Score: 2 Votes (Like | Disagree)
iFan Avatar
iFan
57 months ago

I find this very, very, VERY difficult to believe. I live in one of the largest cities in the U.S. and I'm hard-pressed to find more than a handful or two of companies that accept Apple Pay.


They'll never tell us, because Google accounts for the vast majority of that $16 billion... like, close to $12 billion, to be the default search engine.
Apple Pay is essentially available anywhere that you see contactless availability. Look closer and you'll see way more than a few companies accepting it. Even my local hot dog shop accepts it now.

Also: you're confusing Google's annual payment with quarterly revenue. Services revenue this year will be close to $60 billion whereas the Google payment is estimated to be ~$12 billion, as you wrote.
Score: 2 Votes (Like | Disagree)
jmgregory1 Avatar
jmgregory1
57 months ago
I was going to say on the overall revenue increase article, that services and their new Apple One was going to add significantly to their revenue increases. I’m sure I’m not alone, in springing for the Premier tier, since it was just $5 more per month than I was paying, and for that I get Apple TV+, News+ and Fitness+, none of which I was paying for previously.
Score: 2 Votes (Like | Disagree)
Baymowe335 Avatar
Baymowe335
57 months ago
Services were up almost 25%.This is unbelievable.

Don’t be fooled by the relatively small piece of the pie, as hardware revenue is exaggerated during the Christmas quarter.

Services are a massive business with huge margins. Well done.
Score: 2 Votes (Like | Disagree)
Read All Comments