Apple’s sales rebounded this spring, defying expectations and delivering good news to jittery financial markets. The tech giant reported a revenue of $85.8 billion over the three months to June, marking a 5% year-on-year increase and a return to growth after a slump earlier in the year.
While the three major share indexes in the US closed lower, Apple’s positive performance stood out among the crowd. Other tech giants like Amazon and Intel faced challenges, with Intel experiencing a sales slump and announcing over 15,000 job cuts.
Amazon also saw a slowdown in sales growth, putting pressure on margins as the company ramps up investments in artificial intelligence. The overall market saw declines, with the Dow Jones Industrial Average dropping 1.2%, the S&P 500 slipping almost 1.4%, and the Nasdaq falling 2.3%.
Investors have been closely watching companies’ investments in AI, with firms like Nvidia gaining favor over competitors like Intel. Apple, however, seems well-positioned to benefit from AI-powered improvements to its software, with the recent release of “Apple Intelligence” features receiving positive feedback.
Apple CEO Tim Cook expressed optimism about the company’s future growth, citing the new AI features as a compelling reason for customers to upgrade their devices. Despite a slight dip in iPhone sales, Apple reported increased sales of Macs and iPads, as well as record revenue from its services division.
Overall, Apple’s strong performance in the face of market challenges has reassured investors and positioned the company for continued growth in the months ahead.
