Driven by growth in both hardware and services segments, Apple’s global revenues are expected to cross the $400-billion mark for the first time in 2024, a report said on Wednesday.
After a decline in 2023, Apple’s hardware revenues are expected to grow 3 percent (year-on-year) in 2024, according to Counterpoint Research.
All the key hardware segments – iPhone, iPad, Mac, Watch, AirPods – are likely to drive this growth supported by new launches. AirPods could emerge as the fastest-growing segment this year.
“In terms of growth rates, and now with the advent of Apple Intelligence, the services segment does seem very exciting. It is poised to grow at a much faster rate than hardware,” said Tarun Pathak, Director, of Counterpoint Research.
However, in terms of absolute revenue growth, hardware remains critical in pushing the needle considering it contributes to three-fourths of Apple’s global revenues.
“After a decline in 2023, 2024 will see growth in several key hardware categories driven by multiple launches. Then there is also a promise of Apple Intelligence being implemented across hardware segments, which has once again created some excitement and could drive upgrades,” Pathak mentioned.
Meanwhile, services revenue will continue to grow and reach record levels in 2025, crossing the $100-billion mark for the first time.
Apple Intelligence could boost the services revenue by at least 10-15 percent in coming years depending on how Apple chooses to monetize, the report mentioned.
In 2025, the revenue from services is likely to become bigger than the revenue from hardware excluding iPhones.
