Apple News 8 Hours

Last updated: July 30, 2026, 11:30 PM ET

Apple's Q3 2026 Earnings and Services Performance

Apple reported record, announcing $109.4 billion in revenue and a $29.8 billion profit, exceeding Wall Street expectations. The company across its platform, contributing to its Services business. However, Apple acknowledged that regulatory changes to the App Store business model in the US and abroad are beginning to impact Services growth, a trend also noted by CFO Kevan Parekh who pointed to softness in mobile gaming as another factor affecting performance . Despite the subscription milestone, the growth fell short of what Wall Street had anticipated . The company also declared a quarterly cash dividend of $0.27 per share to be paid on August 13.

AI Compute Costs and Future Monetization Strategies

Apple's approach to covering the costs associated with its upcoming AI features appears to be tied to its existing subscription service, with initial plans suggesting that daily AI usage limits will be tied to iCloud+ subscription tiers. For users who exceed these limits, Apple is reportedly to allow for increased AI usage. This monetization strategy extends to Siri AI, where heavy users may eventually. These AI-related costs are a significant consideration as Apple, reflecting a sharp acceleration in spending throughout fiscal 2026.

Supply Chain Challenges and Product Demand

Anticipating strong demand for its products, Apple. This issue is expected to impact not only the iPhone but also the iPad and Mac lines . CEO Tim stated that supply availability will not be able to meet the "incredibly strong demand" for iPhones during the September quarter, a situation that has persisted throughout 2026 . Cook also addressed mounting memory supply and pricing challenges, suggesting that adding more memory suppliers may not necessarily lower product prices, and that the company "reluctantly raised prices" due to a "100-year flood on memory pricing" . Mac sales saw an unexpected surge in Q3, rising by over 25% compared to the previous year, largely attributed to the MacBook Neo .

Leadership Transition and Partnerships

During today's earnings call, CEO Tim Cook confirmed that it was his final earnings call before his resignation, with John Ternus set to become Apple's new CEO on September 1. Cook thanked shareholders, marking the end of his tenure. In addition to internal leadership changes, Apple continues to expand its partnerships. Following backend Apple is reportedly preparing to expand its Car Keys feature in Apple Wallet to another brand from Chinese automaker GWM . In Brazil, bringing Fortnite and Rocket League Sideswipe back to the platform.

Content and Service Expansion

Apple's partnership with Peanuts continues with the release of the newest special, "There’s No Place Like Home, Snoopy," now available for Apple TV subscribers . The company also, which is part of a broader strategy that also includes speculation about a foldable iPhone and a release date for Apple smart glasses.