Apple’s Q1 revenue reaches $124.3B, iPhone sales decline despite Apple Intelligence launch.

In the first quarter of the year, Apple announced a revenue of $124.3 billion, setting a new quarterly record with a 4% increase year-over-year. Despite this strong showing, Apple faced challenges with its iPhone sales, falling short of Wall Street expectations. Sales in Greater China also saw a decline of 11.1% compared to the previous year. Additionally, revenue from Wearables, Home, and Accessories experienced a minor dip from the preceding quarter.

On a more positive note, Apple witnessed growth in sales across categories such as Mac, iPad, and Services, which helped offset the decline in iPhone sales. Notably, Apple introduced its initial lineup of AI-powered Apple Intelligence features in U.S. English for iPhone, iPad, and Mac in October 2024. The company has also initiated its global expansion, introducing Apple Intelligence to markets like Australia, Canada, New Zealand, South Africa, and the U.K.

Apple’s CEO, Tim Cook, shared during the earnings call that Apple Intelligence would soon be available in more languages, including French, German, Italian, Portuguese, Spanish, Japanese, Korean, and Simplified Chinese. He mentioned that regions where Apple Intelligence was introduced had witnessed stronger sales of the iPhone 16.

Looking ahead, Apple plans to expand the reach of Apple Intelligence into more markets and languages, a strategic move aimed at enhancing user experience and driving sales growth. Despite the challenges faced in some areas, Apple remains focused on innovation and providing cutting-edge technology to its global customer base. The company’s commitment to delivering exceptional products and services continues to drive its success in the ever-evolving tech industry.