Apple’s Services segment—which includes the App Store, Apple TV+, Apple Music, Apple Pay, and iCloud—also delivered a quarterly record of $26.65 billion in revenue, up 11.8% from the previous year. Still, the figure came in just shy of the analysts’ forecast of $26.70 billion, according to StreetAccount.
However, the company’s performance in Greater China told a different story. Sales in the region declined 2.3% to $16 billion in the fiscal second quarter ending March 29, falling short of the $16.83 billion average estimate.
The drop highlights Apple’s mounting challenges in one of its most crucial markets, amid weakening demand and intensifying local competition.