Less than a week before its long-awaited iPad hardware event, Apple shared its Second quarter 2024 earnings today, and the numbers paint a predictable picture for the increasingly dated line of tablets. iPad revenue fell substantially again (17 percent year over year) amid the longest wait ever for new models, something Apple is days away from finally rectifying. At the same time, iPhone sales declined a bit (down 10 percent), while the company's services business remains the star of the show. It was an increase of 14 percent compared to the prior-year quarter.
Apple also launched its Vision Pro headphones during this quarter, but CEO Tim Cook didn't offer any indication of how things are going. “During the quarter, we were delighted to launch Apple Vision Pro and show the world the potential that spatial computing unlocks,” he said in this afternoon's press release.
This is the last earnings report before Apple's WWDC conference in June; That's where the company will reveal its approach to bringing generative ai software features to iOS, macOS, iPadOS and its other platforms. “We believe in the transformative power and promise of ai, and we believe we have advantages that will differentiate us in this new era,” Cook said on the earnings conference call with analysts.
Apple is said to be exploring possible partnerships with Google and OpenAI. The initial wave of ai features are expected to run on the device, BloombergMark Gurman has reported, which could help them work faster while meeting Apple's privacy standards.
But before all that, Apple is expected to announce new iPad Pros (with OLED displays for the first time) and refreshed iPad Airs next Tuesday, with a host of new accessories to accompany the long-awaited devices. The edge will be covering the virtual event live as it develops, so you'll want to join us next Tuesday morning for all the information.
