Apple Reports Record Fiscal Year Driven by iPhone and Mac Growth Amid AI Integration Strategy
Apple has achieved its best-ever fiscal year for revenue and earnings per share, bolstered by a 17.5% increase in iPhone revenue to $57.6 billion and a 24% surge in Mac revenue to $10.8 billion. Despite the record performance, shares faced downward pressure in premarket trading due to warnings from CFO Kevan Parekh regarding rising memory costs that could impact holiday quarter profit margins. The company is positioning itself as a central interface for AI through 'Apple Intelligence,' utilizing a hybrid model of on-device processing and third-party partnerships, such as Google's Gemini. Unlike competitors like Amazon or Alphabet, Apple maintains significantly lower capital expenditures, focusing instead on leveraging its 2.5 billion active devices to drive hardware upgrades and potential subscription revenue from expanded AI service access.