Apple reported its iPhone revenue of about $56 billion for its 2020 fiscal first quarter on Tuesday, blowing past estimates of analysts, demonstrating that the new iPhone 11 is off to a solid start. The revenue of the iPhone for the quarter rose around 8% from one year before and mounted from the fourth quarter when Apple produced $33.36 billion in iPhone sales.
The giant bump was somewhat because this the 1st full period to factor is the iPhone 11 sales, that launched the previous year. Tim Cook, the CEO of Apple, said in the earnings release on Tuesday that the firm saw heavy demand for their iPhone 11 as well as iPhone 11 Pro models.
Cook told Josh Lipton of CNBC on Tuesday that People love the battery life and they love the camera. He added that they also hit the right price with it. The first quarter of fiscal covers the significant holiday season that leads to a higher revenue lift compared to other segments of the year.
Apple progressively shifted its focus toward other zones of its business such as services and wearables, amid wider stagnation in the market of smartphone. The firm hinted at the initiative when it stopped breaking out unit sales of iPhone last year.
#Apple generated $56 billion in iPhone revenue in quarter, smashing expectations — Results mark Apple’s first quarter to factor in sales of the iPhone 11 since it launched last fall. @Apple‘s 1st 5G phone later this year could drive “supercycle” for stock. https://t.co/8hwro3XcsV pic.twitter.com/S1KTelbTE1
— Marketing & Sales Advisor to Global Tech Companies (@RobShiveley) January 28, 2020
Apple to Launch its First 5G smartphone in late 2020
Still, iPhones are the major sale product of Apple, it claimed a big share of iPhone sales to generate its total revenue. Apple might unveil its first 5G smartphone in September 2020, that could reignite collapsing iPhone sales and drive a transformed super cycle for its stock. Though, analysts say the firm may not be in a hurry to announce a 5G smartphone since the speediest 5G networks aren’t broadly available yet.