MacRumors

During yesterday's earnings call, Apple CEO Tim Cook said that the company's March quarter hadn't been impacted by Trump's tariffs because it was able to build up supply, but it will take a hit in the current quarter that ends in June. While Cook said that Apple had no updates to make on pricing at the current time, it's not clear how long Apple will be able to absorb tariff costs, especially if there are policy changes.

Apple's Current Tariffs

U.S. President Donald Trump has levied tariffs on almost every country, but there have been so many pauses and so much back and forth on tariff policy that it's tough to keep track of.

Right now, there is a 145 percent total tariff on goods imported from China into the United States. 20 percent of that was put into place earlier this year (the fentanyl tariff), and the other 125 percent is a direct result from "Liberation Day" and retaliatory tariffs put in place in the ongoing trade war with China.

Apple has been paying the 20 percent tariff on all products that it imports from China since that tariff was put in place, but Apple has been exempted from the 125 percent additional tariff. In April, the Trump administration exempted most of Apple's devices, along with computer components, displays, TVs, and more.

There are some Apple products, such as accessories, that are not exempt from the extra 125 percent tariff in China, and Apple is paying the full 145 percent for those.

For all other countries except for China, Trump put a 10 percent tariff in place, with higher "reciprocal" tariffs on multiple countries where Apple sources device components. Those tariffs ranged from 20 percent to 46 percent, but have been subject to a 90-day pause since April 9. The pause does not apply to the baseline 10 percent tariff, so Apple would be paying a 10 percent tariff on goods imported from countries like India, Thailand, Vietnam, and the EU were it not exempt. Apple is exempt from the 10 percent tariff, and it is not paying the reciprocal tariff rates at the current time.

In a nutshell: Apple is paying a 20 percent tariff for most of the products that it imports from China. For others, like accessories, Apple is paying 145 percent.

Apple's exemption is not a permanent status and the 90-day pause is temporary, so it's unclear how policies might change in the future.

How Apple Has Mitigated Tariffs So Far

For the March quarter, Cook said that Apple saw a limited impact from tariffs because the company was able to optimize its supply chain and inventory.

Basically, Apple knew the tariffs were coming, and stockpiled devices in the United States.

Cook said Apple already sources approximately half of the iPhones sold in the United States from India, and the company expects the majority of the iPhones sold in the U.S. in the coming months to have India as their country of origin. Almost all iPads, Macs, Apple Watches, and AirPods sold in the U.S. will be sourced from Vietnam. Sourcing devices from India and Vietnam means Apple doesn't currently have to pay the 20 percent tariff for goods from China, minimizing tariff impact.

June Quarter Impact

Apple isn't able to precisely estimate the impact from tariffs in the current quarter because it is "uncertain of potential future actions prior to the end of the quarter" in June.

Cook said that if the current global tariff rates do not change, policies remain the same, and no new tariffs are added, the tariffs will add $900 million to the company's costs. Cook cautioned that this was not an estimate that could be used for future quarters because of "unique factors" benefitting the June quarter, which suggests the impact could be more severe going forward.

If there are policy changes and additional tariffs introduced, it could cost Apple more than $900 million. Cook said that much of the $900 million estimate is from the 20 percent tariff that Apple is paying for goods coming from China. $900 million is less than one percent of Apple's quarterly revenue and under two percent of Apple's iPhone sales, which is why Apple is able to absorb the current costs.

Cook said that Apple didn't know what would happen with tariffs, and he wasn't able to provide insight beyond June. He did say that Apple would continue to source U.S. devices outside of China, and that Apple's operations team has done "an incredible job around optimizing the supply chain and the inventory," which Apple will continue to do.

Starting today, the U.S. has removed the de minimus exemption that meant goods with a value under $800 were not subject to tariffs. That will impact the refurbished components that Apple receives from China for AppleCare repairs, and Apple will need to tweak its supply chain and procedures to avoid it.

The Section 232 Investigation

In mid-April, the Trump administration initiated a Section 232 investigation that will focus on recommendations to reduce dependence on foreign suppliers, and it covers rare earth metals, magnets, semiconductors, and other products that Apple uses.

Depending on the outcome of the Section 232 investigation, Trump could levy additional fees on semiconductors and equipment for manufacturing semiconductors, along with critical minerals. New tariffs on semiconductors would impact Apple.

The Section 232 investigation spans several months and we may not see any outcome from it until December 2025, after which Trump will need to decide on a solution. So we could be looking at 2026 for any kind of dedicated semiconductor tariff.

The 90-day tariff pause is shorter term, and Apple's exemption could end at any point.

Manufacturers Already Raising Prices

Other tech companies and electronic manufacturers that have not been exempted from the current tariffs give us some insight into what might happen if Apple is hit with new tariffs. Several companies have already raised prices, and there's undoubtedly more to come.

• Xbox - The Xbox Series X is 20 percent more expensive, and it costs $600 instead of $500. Microsoft has also raised prices on other devices.
• PlayStation - The PlayStation 5 Pro is priced at $700, up from $590.
• MSI Claw 8 - MSI's handheld PC is $1,000, up from $900. Other products have also gone up in price.
• DJI - DJI's Osmo Pocket 3 camera is now $799, up from $519.
• Legion Go S - Lenovo's Legion Go S is $549, up from $500.
• Segway - Segway upped the price of the Ninebot F3 to $1,000. It was $850 before the tariffs.
• Bambu - The X1 Carbon 3D printer is $1,500, up from $1,200. The new H2D printer, announced right around when tariffs hit, is $2,400, up from $1,900 when it was introduced.
• Anycubic Kobra S - Now $700, up from $550.
• Temu and Shein - Chinese retailers are adding tariff fees to purchases. These companies will be hit hard with the end of the de minimis exemption.

How Much Could Prices Go Up?

When tariffs were first announced, there were a slew of stories suggesting the iPhone could cost hundreds to thousands of dollars more, but it's doubtful prices would actually increase that much. Consumers wouldn't be willing to pay those kinds of fees, plus Apple has plans to mitigate some of the tariff impact.

Apple is sourcing some components in the United States, including chips from a TSMC factory in Arizona, and it has diversified enough that if Trump lowers tariffs in India, Vietnam, Thailand, and other countries, prices won't increase as much. Apple is also sizable enough that it can negotiate some of its costs down.

Apple can certainly absorb some of the tariff impact as it is doing now, but that's not sustainable long term. With no relief, Apple will need to raise prices, and the question isn't if, but when. It's not likely that we'll see price increases mid-cycle on existing devices, but it is possible we could see a jump in cost with the debut of the iPhone 17 models.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Apple today shared a "Hands-On with Apple Intelligence" video that walks through all of the current ‌Apple Intelligence‌ features and how to use them.

The video shies away from the unavailable ‌Apple Intelligence‌ features like personalized Siri replies, and instead focuses on what's available now.

• Clean Up in Photos
• Genmoji
• Image Playground
• Mail Summaries
• Writing Tools
• Visual Intelligence
• ChatGPT integration

After delaying the personalized ‌Apple Intelligence‌ ‌Siri‌ features, Apple took down its ‌Apple Intelligence‌ ads that had highlighted the functionality. Apple originally published ads with unavailable ‌Siri‌ features when the iPhone 16 launched, and now it's facing lawsuits as a result from customers who expected the ‌Siri‌ features on their new ‌iPhone 16‌ devices.

Apple is working with Anthropic on an updated version of Xcode that will support AI code writing, editing, and testing, reports Bloomberg. Anthropic is best known for its "Claude" large language model and chatbot that competes with OpenAI's ChatGPT. Claude is well-known for its coding capabilities, beating out other LLMs on programming tasks.

The new version of Xcode integrates the Claude Sonnet model, and Apple is slowly rolling it out internally for employees to use. Many companies have started adopting AI coding tools to speed up product development, and Apple can't afford to be behind. Bloomberg says that Apple was initially hesitant to use AI to create software for Apple customers, but advancements in LLMs have made the company more comfortable with expanded AI tools.

Apple's internal version of Xcode has a chat interface for programmers to request code or help with coding, and it is able to test user interfaces and help engineers locate and address bugs.

There's no word yet on whether Apple will eventually launch the software publicly, but if the company's internal testing is successful, it's possible the tool could be provided to third-party developers. Last year, Apple announced Swift Assist, an AI-powered coding companion for Xcode. Swift Assist was supposed to come out in 2024, but like the personalized Apple Intelligence Siri features, it never materialized.

As it turns out, Apple engineers testing Swift Assist found that it was making up information and could slow down app development in some situations. Apple's work with Anthropic could help with Swift Assist and future tools.

Apple has inked deals with several AI companies. OpenAI's ChatGPT is already integrated into iOS 18, it is working with Google to add support for Gemini, and now there is a partnership with Anthropic. In China, Apple is also working with Baidu and Alibaba on AI.

On this week's episode of The MacRumors Show, we look at what to expect from the 2025 Apple Watch lineup when new models launch in the fall.

The Apple Watch Series 11 is anticipated to offer hypertension detection as the device's next major health monitoring advancement, potentially with AI-powered health-coaching features. It is also rumored to offer a new chip and, on cellular models, 5G RedCap connectivity.

The Apple Watch Ultra 3 is expected to receive these new capabilities, as well as features that came to last year's Series 10 model such as a brighter display with a faster refresh rate and a redesigned metal back to facilitate faster charging. However, iPhone-like satellite connectivity features are rumored to be the biggest upgrade for this year's new Apple Watch Ultra.

The third-generation Apple Watch SE is rumored to feature a "new look," perhaps with an all-new plastic casing to bring down the device's cost. It is also likely to feature different size options, either by reducing the bezels around the display or enlarging the screens similar to the Apple Watch Series 7. It should also feature a new chip and a lower price point.

We also look at the latest rumors about iPadOS 19, where a macOS-style menu bar is expected to appear on-screen when the iPad is connected to a Magic Keyboard. The iPhone could also be getting a Stage Manager-like feature when connected to an external display.

The MacRumors Show also has its own YouTube channel, so make sure you're subscribed to keep up with new episodes and clips.

You can also listen to ‌The MacRumors Show‌ on Apple Podcasts, Spotify, Overcast, or your preferred podcasts app. You can also copy our RSS feed directly into your podcast player.

If you haven't already listened to the previous episode of The MacRumors Show, catch up to hear our discussion about the rumored look of the iPhone 17 "Air" and iPadOS 19's major productivity update.

Subscribe to ‌The MacRumors Show‌ for new episodes every week, where we discuss some of the topical news breaking here on MacRumors, often joined by interesting guests such as John Gruber, Mark Gurman, Kevin Nether, Jon Prosser, Luke Miani, Matthew Cassinelli, Brian Tong, Quinn Nelson, Jared Nelson, Eli Hodapp, Mike Bell, Sara Dietschy, iJustine, Jon Rettinger, Andru Edwards, Arnold Kim, Ben Sullins, Marcus Kane, Christopher Lawley, Frank McShan, David Lewis, Tyler Stalman, Sam Kohl, Federico Viticci, Thomas Frank, Jonathan Morrison, Ross Young, Ian Zelbo, and Rene Ritchie.

‌The MacRumors Show‌ is on X @MacRumorsShow, so be sure to give us a follow to keep up with the podcast. You can also head over to The MacRumors Show forum thread to engage with us directly. Remember to rate and review the podcast, and let us know what subjects and guests you would like to see in the future.

As planned, Spotify has updated its iPhone app in the U.S. with out-of-app pricing and subscription options for its Premium plans. The latest version of the app is now available in the App Store, and the added pricing information is rolling out.

Spotify users in the U.S. can now view pricing information for its Individual, Duo, Family, and Student plans directly in the iPhone app, and there are buttons that lead to Spotify's website, where users can complete the payment process.

For many years, Spotify has not allowed users to subscribe to Premium plans directly in its iPhone app, as the company does not want to pay Apple's 30% commission on in-app purchases. That remains the case as of today, but Spotify is now permitted to show buttons and links pertaining to out-of-app payment options, without any limitations.

Spotify shared the following statement today:

In a victory for consumers, artists, creators, and authors, Apple has approved Spotify's U.S. app update. After nearly a decade, this will finally allow us to freely show clear pricing information and links to purchase, fostering transparency and choice for U.S. consumers. We can now give consumers lower prices, more control, and easier access to the Spotify experience. There is more work to do, but today represents a significant milestone for developers and entrepreneurs everywhere who want to build and compete on a more level playing field. It's the opening act of a new era, and we could not be more ready for the show.

This monumental change comes after a U.S. judge ordered Apple to immediately allow apps to show this sort of information, as part of a lawsuit filed by Fortnite maker Epic Games. Apple is also no longer permitted to collect a 27% commission on those out-of-app purchases that are initiated through the App Store. Apple has complied with the order, but the company said it disagrees with the decision and plans to appeal.

The judge enforced these requirements after finding Apple violated a 2021 injunction by imposing too many barriers on out-of-app payment options.

Many other popular iPhone apps will likely be updated with out-of-app subscription buttons and information in the U.S. over the coming days.

Amazon this week had a huge sale across a number of Apple products, offering the best prices of the year so far on AirPods Pro 2, AirPods 4, 11th generation iPad, M3 iPad Air, Apple Watch Series 10, and M4 MacBook Air. All of these record low prices are still live today.

Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a purchase, we may receive a small payment, which helps us keep the site running.

AirPods

• What's the deal? Take up to $80 off AirPods
• Where can I get it? Amazon
• Where can I find the original deal? Right here

One of the best deals of the week is on the AirPods Pro 2, which have hit $169.00 on Amazon, down from $249.00, the best price we've tracked so far in 2025. You can also find low prices on AirPods 4 right now on Amazon.

Apple Watch

• What's the deal? Take up to $100 off Apple Watch Series 10 and SE
• Where can I get it? Amazon
• Where can I find the original deal? Right here

The Apple Watch Series 10 is available for $100 off this week on Amazon, while the Apple Watch SE is on sale for $80 off. These are both record low prices for each model of the Apple Watch.

11th Gen iPad

• What's the deal? Take $50 off 11th generation iPad
• Where can I get it? Amazon
• Where can I find the original deal? Right here

Amazon introduced $50 discounts on nearly every 11th generation iPad this week, all hitting new all-time low prices in the process. Prices start at $299.00 for the 128GB Wi-Fi model.

M3 iPad Air

• What's the deal? Take $100 off M3 iPad Air
• Where can I get it? Amazon
• Where can I find the original deal? Right here

You'll also find new all-time low prices on nearly every M3 iPad Air this week on Amazon, with $100 off these tablets.

M4 MacBook Air

• What's the deal? Take $150 off M4 MacBook Air
• Where can I get it? Amazon
• Where can I find the original deal? Right here

If you're shopping for a new notebook, Amazon has the M4 MacBook Air available from $849.00 for the 256GB 13-inch model. All of these computers are hitting $150 off across the board, and like the rest of the deals from Amazon this week, they're new all-time low prices.

If you're on the hunt for more discounts, be sure to visit our Apple Deals roundup where we recap the best Apple-related bargains of the past week.

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Since watchOS 7 in 2020, parents have been able to pair their iPhone to their child's Apple Watch. Formerly known as Apple Watch Family Setup, and now marketed as Apple Watch For Your Kids, this option allows kids to use an Apple Watch with a cellular plan for texting, calling, and location sharing, even if they do not own an iPhone.

For children, a cellular Apple Watch can be a stepping stone towards an iPhone, and Apple has now marketed that idea in a series of new ads.

On its YouTube channel in Canada, Apple has shared three short videos advertising the benefits of the Apple Watch For Your Kids feature. In each video, a child uses their cellular Apple Watch to text their parents. And in one of the videos, a parent reminds their child who is secretly at a shopping mall that they can see their child's location.

Three key benefits of a cellular Apple Watch for kids: texting, calling, and location sharing.

"Apple Watch with cellular lets your kids text, call and location share, all without their own phone," says each video's description.

Apple Watch For Your Kids requires a child to have an Apple Watch Series 4 or newer with watchOS 7 and later, while the parent must have an iPhone XS or later. A cellular Apple Watch is recommended for full functionality, but a limited set of features are available on Apple Watch models with Wi-Fi only.

More details are available on the Apple Watch For Your Kids page, and in a support document.

In the wake of yesterday's court ruling in the dispute between Apple and Epic Games over Apple's policies restricting developers' ability to inform users about alternatives to making purchases through Apple's in-app purchasing system, Apple has updated its App Review Guidelines to comply with the ruling.

Apple summarized the changes in an email to developers today:

3.1.1: Apps on the United States storefront are not prohibited from including buttons, external links, or other calls to action when allowing users to browse NFT collections owned by others.

3.1.1(a): On the United States storefront, there is no prohibition on an app including buttons, external links, or other calls to action, and no entitlement is required to do so.

3.1.3: The prohibition on encouraging users to use a purchasing method other than in-app purchase does not apply on the United States storefront.

3.1.3(a): The External Link Account entitlement is not required for apps on the United States storefront to include buttons, external links, or other calls to action.

Judge Yvonne Gonzalez Rogers ruled that Apple must immediately comply with the ruling even as the company moves to appeal.

The changes are currently limited to the United States given the scope of the court case, but Epic Games CEO Tim Sweeney offered a "peace proposal" pledging to drop all remaining litigation against Apple over the issue if Apple were to implement the required U.S. changes on a worldwide basis. Apple has so far given no indication that it is interested in accepting that proposal.

Following the court ruling and with Apple's policy changes, major app developers are already moving to make it easier for users to purchase or subscribe to content outside of the App Store, with Spotify already submitting an app update, Patreon indicating that it will do so, and ‌Epic Games‌ saying that it will bring Fortnite back to the U.S. ‌App Store‌.

Spotify today submitted an app update to Apple that will include information on Spotify plan costs and options to subscribe through weblinks without using the in-app purchase system. Spotify will not need to pay a fee to Apple when customers subscribe to the service using alternate payment methods in the Spotify app.

In a blog post announcing the changes, Spotify said that yesterday's ruling "delivers the benefits that all consumers deserve around the world," calling it a great day for Spotify users in the United States. Here's what Spotify says consumers will be able to do in the updated Spotify app:

• Can finally see how much something costs in our app, including pricing details on subscriptions and information about promotions that will save money;
• Can click a link to purchase the subscription of choice, upgrading from a Free account to one of our Premium plans;
• Can seamlessly click the link and easily change Premium subscriptions from Individual to a Student, Duo, or Family plan;
• Can use other payment options beyond just Apple's payment system--we provide a wider range of options on our website; and
• Going forward, this opens the door to other seamless buying opportunities that will directly benefit creators (think easy-to-purchase audiobooks)

Spotify said that it's "absurd" that it hasn't been able to offer these "basic services" to customers prior to now, and that "meaningful parts of Apple's anticompetitive barriers" have now been addressed, a change that is "long overdue."

According to Spotify, the decision could "unlock real opportunities for creators building their business and sharing their art with fans through Spotify." Publishers will soon be able to sell their audiobooks through the Spotify platform, for example.

Spotify, Epic Games, Patreon, and other app developers are submitting updates to the App Store with external purchase options. Apple has been ordered to allow developers to add links to external purchase options with no fee, "effective immediately."

Apple held its earnings call for the second fiscal quarter of 2025 today (second calendar quarter), announcing revenue of $95.4 billion and net quarterly profit of $24.8 billion. During the call, Apple CEO Tim Cook spoke about tariffs, the App Store changes Apple is facing, device sales, and more.

We've rounded up the most interesting tidbits from the Q2 2025 earnings call below.

U.S. App Store Changes

Cook was asked about some of the high-profile legal cases that Apple is facing right now, including the U.S. ‌App Store‌ changes that Apple was ordered to make yesterday, and how those legal cases might impact Apple's services business.

Cook repeated Apple's statement about complying and appealing, and didn't add much more beyond saying that the outcome is unclear.

The case yesterday, we strongly disagree with it. We've complied with the court's order, and we're going to appeal. In the DoJ case you referenced with Google, that case is ongoing, and I don't really have anything to add beyond that.

We're monitoring these closely. But as you point out, there's risk associated with them. And the outcome is unclear.

Tariffs

Cook said that tariffs had a limited impact on the March quarter because Apple was able to optimize its supply chain and inventory. Apple is unable to entirely estimate the impact of tariffs on the June quarter because policies could change, but if everything stays as it is now, the tariffs will add $900 million to Apple's costs.

Cook declined to speak on pricing or whether elevated costs will be passed along to consumers.

US Investment

Cook said that Apple is sourcing glass and Face ID modules from the United States, along with purchasing 19 billion chips from 12 states.

Apple Intelligence Siri Features

Cook said that Apple is "making progress" on the personal Siri features that the company announced at WWDC 2024. "We are making progress, and we look forward to getting these features into customers' hands," said Cook.

"It's just taking a bit longer than we thought," Cook added.

Apple Intelligence Impacting iPhone Sales

Cook said that during the March quarter, Apple saw year over year performance in countries with Apple Intelligence that was stronger than those countries where ‌Apple Intelligence‌ was not available.

Mac

Mac revenue grew 6.7 percent year over year, thanks to the new M4 MacBook Air and Mac Studio that came out during the quarter. The Mac install base grew to an all-time high, and Apple saw growth for upgraders and customers new to the Mac.

iPad

iPad revenue grew 15.2 percent year over year, with growth in every geographic segment. More than half of customers who purchased an ‌iPad‌ were new to the product. Apple debuted the M3 iPad Air and the ‌iPad‌ 11 during the quarter.

Wearables, Home and Accessories

Wearables revenue dropped 4.9 percent year over year due to a difficult compare against the launch of the Apple Vision Pro in the year-ago quarter.

Services

Apple's services revenue was up 11.6 percent year over year, an all-time revenue record, with strong performance across all categories. Apple TV+ set a new record for viewership during the quarter, and paid accounts and paid subscriptions grew double digits year over year. Apple now has more than 1 billion total paid subscriptions.

Apple CEO Tim Cook today provided some insight into how the tariffs levied by U.S. president Donald Trump have affected its business, and the future impacts that Apple is expecting should tariffs continue.

Cook said that tariffs had a limited impact on the March quarter as Apple was able to optimize its supply chain and inventory. Apple can't entirely estimate the impact of tariffs on the June quarter due to uncertainties, but with no changes, the tariffs will add $900 million to Apple's costs. From Apple's earnings call:

Now let me walk you through the impacts of tariffs in the March quarter, and give you some color on what we expect for the June quarter. For the March quarter, we had a limited impact from tariffs as we were able to optimize our supply chain and inventory.

For the June quarter, currently, we are not able to precisely estimate the impact of tariffs, as we are uncertain of potential future actions prior to the end of the quarter. However, for some color, assuming the current global tariff rates, policies and applications do not change for the balance of the quarter, and no new tariffs are added, we estimate the impact to add $900 million to our costs. This estimate should not be used to make projections for future quarters, as there are certain unique factors that benefit the June quarter.

Apple is already sourcing more than half of iPhones sold in the United States from India, while Macs, iPads, AirPods, and the Apple Watch come from Vietnam. For the June quarter, Cook said that Apple expects the majority of iPhones sold in the U.S. to have India as a country of origin, while Apple will continue sourcing other products from Vietnam. Apple will source devices from China for the rest of the world.

Cook said that Apple's operational team has "done an incredible job around optimizing the supply chain and the inventory," and that Apple plans to continue to do those things to the degree that it is able to.

The 20 percent tariffs that Trump put in place earlier this year are the tariffs that are primarily impacting Apple, as many Apple products have been exempted from the 125 percent reciprocal tariffs. Some products, though, such as accessories, are subject to the total 145 percent tariffs.

Cook said that he doesn't know what will happen with the Section 232 investigation that will eventually see tariffs applied to semiconductors, a change that will impact Apple.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

During today's earnings call covering the second fiscal quarter of 2025, Apple CEO Tim Cook acknowledged the Apple Intelligence Siri features that have been delayed. Cook said that Apple needs more time to ensure ‌Siri‌ meets its quality bar, but progress is being made.

With regard to the more personal Siri features we announced, we need more time to complete our work on these features, so they meet our high quality bar. We are making progress, and we look forward to getting these features into customers' hands.

Apple first unveiled the more personalized ‌Siri‌ features at WWDC 2024, and rumors suggested that the plan was to introduce them with an update to iOS 18. That didn't happen, and Apple earlier this year said that there would be a delay because more time was needed for development.

At this point, the new ‌Apple Intelligence‌ features will be held for iOS 19, and it is not yet clear if they will be in the first iOS 19 release or held for a later update. Apple's delay wording suggested that we could be waiting until 2026 for the functionality.

Behind the scenes, Apple made a number of changes to ‌Siri‌ leadership, moving AI chief John Giannandrea off of the project and instead turning to Mike Rockwell, who handled Vision Pro development.

Apple today announced financial results for the second fiscal quarter of 2025, which corresponds to the first calendar quarter of the year.

For the quarter, Apple posted revenue of $95.4 billion and net quarterly profit of $24.8 billion, or $1.65 per diluted share, compared to revenue of $90.8 billion and net quarterly profit of $23.6 billion, or $1.53 per diluted share, in the year-ago quarter. Services revenue reached an all-time high during the quarter, while earnings per share set a March quarter record.

Gross margin for the quarter was 47.1 percent, compared to 46.6 percent in the year-ago quarter. Apple's board of directors also authorized an additional $100 billion for share repurchases and declared an increased dividend payment of $0.26 per share, up from $0.25 per share. The dividend is payable May 15 to shareholders of record as of May 12.

"Today Apple is reporting strong quarterly results, including double-digit growth in Services," said Tim Cook, Apple's CEO. "We were happy to welcome iPhone 16e to our lineup, and to introduce powerful new Macs and iPads that take advantage of the extraordinary capabilities of Apple silicon. And we were proud to announce that we've cut our carbon emissions by 60 percent over the past decade."

As has been the case for over five years now, Apple is once again not issuing guidance for the current quarter ending in June.

Apple will provide live streaming of its fiscal Q2 2025 financial results conference call at 2:00 pm Pacific, and MacRumors will update this story with coverage of the conference call highlights.

Conference call recap ahead...

➜ Click here to read rest of article...

Patreon plans to update its iOS app with new functionality that will allow creators to accept payments from followers without having to pay Apple's in-app purchase fees, a Patreon spokesperson told The Verge.

This is a huge moment for creators and their businesses. The iOS app is the number one platform for fan engagement on Patreon, and we believe this ruling allows creators to get paid without giving Apple 30 percent. As a first step, we will submit an app update for review by Apple to enable payments outside of IAP so creators keep more from iOS based fan payments.

In 2024, Apple forced Patreon to adopt support for the in-app purchase system, which meant that Apple started taking a 30 percent cut of all payments made to creators. Patreon gave creators the option of increasing their prices in just the iOS app, or absorbing the fee to keep prices the same across all platforms. Creators had to raise prices in the iOS app, lose money to pay Apple's cut, or encourage customers to subscribe on the web.

As of right now, Apple is still collecting a 30 percent App Store fee for all memberships purchased via Patreon for iOS, and for other digital goods purchased from Patreon shops.

Patreon does not have a timeline for when it plans to submit its app update with out-of-app payment options, and Apple also hasn't outlined exactly when it will change its ‌App Store‌ rules.

Apple has been ordered to stop restricting developers from informing customers about purchase options outside of an app in the U.S., and from collecting fees for out-of-app purchases.

The court said that it "will not tolerate further delays" and that the ruling, which was issued yesterday, was effective immediately.

Google today announced that it is starting to roll out a dedicated AI Mode tab for Google Search. A "small percentage" of people in the United States will start seeing the AI Mode option "in the coming weeks."

AI Mode is a feature that Google has been testing with its Labs feature. It is a dedicated search option like News, Images, and Shopping, providing AI answers to queries directly in the search interface. AI Mode uses Gemini 2.0, Google's core AI model.

In addition to starting to roll out AI Mode as a standard search feature, Google is bringing the AI Mode option to all U.S. users who want to try it through Google Labs.

The new AI Mode experiment in Search uses advanced reasoning, thinking and multimodal capabilities from Gemini to help with even your toughest questions. You can ask whatever's on your mind and get an AI-powered response with the ability to explore further with follow-up questions and helpful web links. AI Mode does the heavy lifting for you, intelligently organizing information and gives you easy-to-digest breakdowns.

AI Mode is similar to the AI summaries that Google provides for standard searches, but it cuts out typical search results entirely, providing only an AI-based answer that's pulled from different websites and data on the web.

Google is bolstering AI Mode with visual place and product cards that offer an option to tap to get more information. For restaurants, salons, and stores, these cards will provide information like ratings, reviews, hours, and store inventory.

There's also now a dedicated left-side panel that includes an AI history for returning to past searches for follow-up questions.

Separately, Google has also started testing ads for some third-party AI assistants. According to Bloomberg, Google's AdSense network is running ads in some chatbot conversations, and Google confirmed that AdSense for Search is available for websites that want to show ads in their conversational AI experiences.

Epic Games today announced plans for ‌Epic Games‌ Store Webshops, a feature that will allow developers to launch digital storefronts that are hosted by the ‌Epic Games‌ Store. With Apple's mandated App Store rule changes in the United States, developers will soon be able to direct customers to web shops to make out-of-app purchases, bypassing the in-app purchase flow.

The ‌Epic Games‌ Store will charge developers a 0 percent fee for the first $1,000,000 in revenue they collect per app per year, and after that, developers will need to pay Epic a 12 percent cut. The fees are applicable to all payments that are processed by the ‌Epic Games‌ Store. ‌Epic Games‌ also says that players that spend in Epic Webshops will be able to accrue 5 percent Epic Rewards on all purchases.

Many smaller games do not exceed $1 million in revenue per year, so the ‌Epic Games‌ Store Webshop could be a viable option for small and independent developers. Developers that earn more will likely want to set up their own payment options using online payment platforms like Stripe or Shopify for even lower fees.

Epic's announcement follows a ruling yesterday that will see Apple forced to make major updates to its U.S. App Store policies as part of an ongoing ‌App Store‌ dispute with ‌Epic Games‌. Apple cannot prevent developers from directing customers to better deals outside of the ‌App Store‌, nor can the company collect fees for these purchases, among other changes.

Apple was ordered to comply with the order immediately, and the court said that it "will not tolerate further delays." Apple said that it plans to implement the changes as ordered, though it will appeal the decision.

Mother's Day is coming up on Sunday, May 11, and you can save on a bouquet from the website 1-800-Flowers when you pay with Apple Pay.

Now through May 9, you can get $20 off a bouquet and select other merchandise when you spend at least $49.99 at 1-800-Flowers.com, or in the 1-800-Flowers app, in the United States. To qualify for the discount, the purchase must be completed with Apple Pay, and you must enter the promo code APPLEPAY at checkout.

"Brighten Mom's day with beautiful flowers and more," says Apple, in an email about the offer.

A subset of Apple's software engineers started internal development of iOS 19.4 last month, according to the MacRumors visitor logs.

iOS 19.4 is expected to be released in March or April next year, so the software update is still nearly a year away. However, Apple develops both "Fall" and "Spring" versions of iOS each year, with our website's analytics logs indicating that both iOS 19.0 and iOS 19.4 are in active development within the company.

The start of iOS 19.4 development comes after Apple delayed its personalized Siri features until some point "in the coming year."

Apple first previewed the personalized Siri features during its WWDC 2024 keynote last June. The enhancements were initially expected to launch with iOS 18.4 a month ago, but they are now expected to arrive at some point during the iOS 19 cycle. Many well-connected Apple reporters and observers believe the features will not be available until 2026, so it is quite possible that they will launch as part of iOS 19.4 next year.

On the other hand, The New York Times last month said that Apple plans to roll out the revamped Siri this fall, but this report is an outlier for now. In this case, the features could debut as part of iOS 19 in September, or in iOS 19.1 in October.

All in all, the personalized Siri features should be available by iOS 19.4 at the latest, and the company is now working on that version.

Whenever they launch, the Siri upgrades will include understanding of a user's personal context, on-screen awareness, and deeper per-app controls. For example, during its WWDC 2024 keynote, Apple showed an iPhone user asking Siri about their mother's flight and lunch reservation plans based on info from the Mail and Messages apps.

The promised Siri upgrades will be powered by Apple Intelligence, which has faced a rocky rollout. Apple was hit with class action lawsuits in the U.S. and Canada over its delayed personalized Siri features, and the company recently complied with the National Advertising Division's recommendation to remove "available now" wording from the Apple Intelligence web page. Apple also had to disable notification summaries for news apps after some of the summaries generated false information, and it has yet to re-enable the feature.