With the iPhone 16, Apple will generate sales of $400 billion

Renderings of the iPhone 16 series

It is estimated that Apple’s revenue was around $775,000 in the first year when the company was founded in 1977. Almost 50 years later, the latest official financial results showed that the company earned $84.78 billion in the third quarter of 2024.

For the full year of 2024, the company is now likely to earn more than $400 billion, according to research and estimates from Counterpoint Research. Significantly, this follows a decline in profits in 2023, and the new increase is attributable not just to the iPhone, but to all Apple hardware – and services.

“[Apple’s Services segment] is expected to grow much faster than hardware,” said Tarun Pathak of Counterpoint. “In terms of absolute revenue growth, however, hardware remains critical considering it accounts for three-quarters of Apple’s global revenues.”

“After a decline in 2023, 2024 will see growth in several key hardware categories, driven by multiple product launches,” Pathak continued. “Then there is also the promise of Apple Intelligence being implemented across all hardware segments, which has once again generated excitement and could drive upgrades.”

Apple revenue from 2008 to 2024 (Source: Counterpoint Research)

Counterpoint Research expects Apple’s services segment to continue to grow. The company expects services revenue to exceed the $100 billion mark for the first time by 2025.

This would mean that the Services division would generate more revenue than all of Apple’s hardware, with the exception of the iPhone.

Overall, Counterpoint bases its estimates on predictions that there will be new iPad, Mac, Apple Watch and AirPods products alongside the iPhone. The company believes AirPods could become the fastest-growing part of Apple’s revenue.

Looking ahead, the researchers predict that Apple will generate revenue directly from Apple Intelligence once it has determined which elements can be monetized. Counterpoint expects that Apple Intelligence could increase service revenue by at least 10 to 15 percent over the next few years.