Apple's Q1 2024 Earnings Call Takeaways

[aj_niner]

Sadly, Apple doesn't care that. They even advertised and targeted toward both Intel Mac AND AS Mac users when they announced M3 series cause their Mac revenue was poor for almost 1 year and now, it's more than 1 year. How come they did not targeted PC users? Well, they know why for sure. That's also why they wanted to expand Mac system to game, 3D, AI, research, and more.

Apple's accutely aware of it. That's why they ceased disclosuing units shipped worldwide and defaulted to revenue.

With revenue they can increase margins on stagnant number of units shipped or even a slight decline.

This is why RAM & SSD are charged way above market price. Also why it is soldered

Also expanding Macs to future use cases is a good thing. Pls dont misrepresent it as a bad thing. Focusing on future use cases makes the Mac relevant to everyone for the decade to come.

Like say Apple's focus on 5G modem & even 6G modem. The way Qualcomm's business model works they charge the license fee based on the MSRP of the device.

So a 5G modem used in a pocket wifi is inconsequential in licensing fee but when placed into a $3.5k Mac or even Vision Pro then it gets really expensive.

When Apple has an equally good or superior 5G/6G modem then you'll see it applied to all their applicable product line.

 

[grundgedanke]

"And we've we've tried our best to get as close it in the past in terms of things that people love about our ecosystem, but we're going to fall short of providing the maximum amount that we could supply because we need to comply with the with the regulation."

Of course, Appple. Only the best for you customers, not your pockets... Bad, bad regulations, why can't you simply do what you want in the EU...

 

[hagar]

EU users only contribute 7% of App store revenue? That seems like a really low amount. Does that line up with the amount of apple devices here or are other parts of the world just filled with excessive spenders?

That's indeed a very low number. In 2021, Europe accounted for 24% of Apple's entire revenue. Obviously Europe is bigger than the EU, but something is up with that number. Either EU consumers don't like buying apps, or Apple is trying to minimise the impact of EU's DMA on their revenue by downplaying that number.

 

[svish]

Services continue to bring in money for Apple. Revenue from services will increase over time.

 

[Populus]

EU users only contribute 7% of App store revenue? That seems like a really low amount. Does that line up with the amount of apple devices here or are other parts of the world just filled with excessive spenders?

Yeah, I was surprised that we Europeans only represent a 7% of the market.

Maybe, if this refers to App Store revenue, it’s because we’re less inclined to rent software instead of purchasing it with one time purchases. This is just a wild guess. Maybe in other parts of the world people pay a big amount on app renting each year, hence the big numbers on services and subscriptions revenue.

 

[xDKP]

It’s time to revamp the entire iPad lineup. 3 sizes, maybe 4 including an “Air” version.

It’s just way too saturated and confusing. There are so many models with differences among them, it takes the consumer literally doing research to figure anything out. No one wants to shop like that.

Yeah they really need to trim this - also the iPads are so damn great, that my iPad Pro 11 is now around 4 years old and feels brand new - no need to upgrade at all

 

[cupcakes2000]

Is Tim going to give the report earnings a branded name like everything else Apple?

iEarnings

Not surprising. The EU wants to pretend it’s this massive market, but it’s tiny and not especially valuable for premium product makers.

Even disregarding the fact that they’re speaking of AppStore revenue, there are an awful lot premium product makers actually based in the EU, successfully selling their premium products both inside and outside the region.

Making stuff up doesn’t make the stuff true.

 

[hans1972]

EU users only contribute 7% of App store revenue? That seems like a really low amount. Does that line up with the amount of apple devices here or are other parts of the world just filled with excessive spenders?

Android is dominating in the EU.

The only European countries I believe might have a large share of iPhones is the UK, Switzerland and Norway. They're all outside the EU.

The only EU country where iPhones might have a large share would be Luxembourg and maybe Denmark.

 

[MacFarmer]

EU users only contribute 7% of App store revenue? That seems like a really low amount. Does that line up with the amount of apple devices here or are other parts of the world just filled with excessive spenders?

You got it wrong. EU users buy a lot for Apple hardware, but they just do not buy or subscribe to all this **** apps on appstore.

 

[dampfnudel]

Sounds like a Lexus issue to me.

Sounds like an Apple and Lexus not working together to resolve this issue to me.

 

[t0rqx]

Macbooks come with micro scratches and dents. Fix your quality.

 

[dampfnudel]

EU users only contribute 7% of App store revenue? That seems like a really low amount. Does that line up with the amount of apple devices here or are other parts of the world just filled with excessive spenders?

I didn’t expect it to be that low either. I guess Europeans are just more thrifty than Americans. Maybe I should’ve known that already based on many, many trips traveling to countries like Germany and some of my relatives over there.

 

[AiPone12mini]

It is clear that Tim Cook loves to dictate what users may not install, time is over soon and i finally can install custom Telegram client, Emulator, Kodi, Tor client that uses native web engine, custom NFC tools, custom BLE firmware tools etc. I have suspicions that Apple itself might release some malware to make excuse of sideloading, take this as a grain of salt.

 

[klasma]

The EU's economy is a joke. It's the whole reason they formed in the first place so that these micro economies in each country could amount to something more, and it's still a joke.

EU GDP is around 70% of US GDP. It could certainly be better, but it’s not a joke either.

 

[aj_niner]

My wife’s Lexus refuses to have a static free connection. Worked fine until iOS 15 I think. I would blame her phone, but it works perfectly with every other Bluetooth device including her earbuds.

Have you tried your iPhone with the same iOS version?

 

[AppliedMicro]

We're going to hear horror stories from consumers that purchased "App X" from "Vendor Y", had their device compromised, can't get any support, a refund, and it will ultimately be "Apple's fault" for allowing this to happen.

If you reserve the right to test, review and notarise others' products before authorising their market access
it's also your fault when you fail to do it properly. Especially when you chose to do it and charge for the privilege.

Can't deny (partial) responsibility when failing at the job you were supposed purported to do.

 

[latweek]

iEarnings

iTim approves this message.

 

[iPadified]

Not surprising. The EU wants to pretend it’s this massive market, but it’s tiny and not especially valuable for premium product makers.

Apple has obviously missed to address a market that should be more profitable. Bad leadership.

 

[GMShadow]

Apple has obviously missed to address a market that should be more profitable. Bad leadership.

It's a poor market with a lot of people who prefer buying knockoffs from Xiaomi and Huawei, and then not buying any content.

Not a market Apple should waste time with.

 

[cupcakes2000]

It's a poor market with a lot of people who prefer buying knockoffs from Xiaomi and Huawei, and then not buying any content.

Not a market Apple should waste time with.

Your clueless comments should be embarrassing to you, but they’re pretty funny to read! Thanks!

 

[ghanwani]

Until they address display issues — PWM, temporal dithering, etc. — they will have trouble with sales of phones, iPads and Mac’s because people will look elsewhere.

 

[AlastorKatriona]

EU GDP is around 70% of US GDP. It could certainly be better, but it’s not a joke either.

27 countries and 450 million people to barely amount to 70% of the U.S. That's a joke.

 

[deeddawg]

My wife’s Lexus refuses to have a static free connection. Worked fine until iOS 15 I think. I would blame her phone, but it works perfectly with every other Bluetooth device including her earbuds.

No issues with my 2017 Toyota, or my wife with her 2012 Toyota, both of which we've owned since new. She did have a staticy bluetooth issue a few years ago, but completely disassociating her phone and repairing solved it.

If you haven't yet completely unpaired / deleted the bluetooth pairing then re-connect them, try that. Be sure to delete on both the phone and the car.

 

[tomtad]

Not surprising. The EU wants to pretend it’s this massive market, but it’s tiny and not especially valuable for premium product makers.

I'm sorry what!?

 

[cupcakes2000]

I'm sorry what!?

They’re trolling