Apple Services Revenue Hits Record $20.8B Amid Overall Earnings Miss

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Apple ended 2022 with roughly 935 million paid subscriptions across services like Apple TV+ and Apple Music.

Tim Cook attends Apple's"Ted Lasso" Season 2 Premiere at Pacific Design Center on July 15, 2021 in West Hollywood, California.Apple on Thursday posted its first quarterly revenue drop in nearly four years after pandemic-driven restrictions on its China factories curtailed sales of the latest iPhone during the holiday season.

Apple’s rare stumble came against a backdrop of renewed investor optimism about tech’s outlook for this year, helping to spur a 17% increase in the sector’s bellwether Nasdaq composite index so far this year. Despite the quarterly downturn in its fortunes. Apple hasn’t signaled any intention to resort to mass layoffs — a stark contrast to its peers in technology. Industry giants Alphabet, Microsoft, Amazon and Meta Platforms have announced plans to jettison more than a combined 50,000 employees as they adjust to revenue slowdowns or downturns caused by people’s lessening dependence on the digital realm as the pandemic has eased.

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