Apple Services Revenue Hits $13.3 Billion in Latest Quarter

Tim Cook Apple TV Plus - H - 2019
Apple

The tech giant on Thursday released its first-quarter earnings, with total revenues of $58.3 billion, up a modest one percent from a year ago but beating Wall Street expectations.

Apple's services division, which includes Apple TV+, Apple Music and Apple Arcade, set an "all-time record" for the company in the first quarter of 2020, generating more than $13.3 billion in revenue.

The tech giant on Thursday released its first-quarter earnings, with total revenues of $58.3 billion, up a modest one percent from a year ago but beating Wall Street expectations.

“Despite COVID-19’s unprecedented global impact, we’re proud to report that Apple grew for the quarter, driven by an all-time record in Services and a quarterly record for Wearables,” CEO Tim Cook said in a statement. “In this difficult environment, our users are depending on Apple products in renewed ways to stay connected, informed, creative, and productive."

Apple's services division is where it accounts for its entertainment properties, including the streaming service Apple TV+, which launched in November; the subscription gaming service Apple Arcade, which launched in September; and Apple Music, which is second only to Spotify in terms of paid subscribers, with more than 60 million.

Apple CFO Luca Maestri said Thursday on an earnings call that Apple Music subscriptions were up double digits year-over-year, setting an all-time record. He added that the company was "well on our way to accomplishing our goal of doubling" services revenue by the end of the fiscal year.

The company has not released subscription numbers for Apple TV+ or Apple Arcade.