The iPhone had a strong quarter, but Apple is going through a behind-the-scenes slowdown. Also: The company nabs a top Lamborghini executive, and Meta looks to buy an eye-tracking startup.
Last week in Power On: Apple shows rare vulnerability as we head into an economic downturn.
On the surface, Apple Inc. gave a reassuring and surprisingly strong quarterly report last week, especially considering all its supply chain challenges, the economic downturn and lingering effects from the pandemic.
Apple reported third-quarter revenue of $83 billion, in line with estimates from Wall Street. The iPhone did particularly well, generating $40.7 billion and topping many projections. The company also said its earlier prediction that supply chain snags would erase as much as $8 billion from revenue was overblown.
But that’s about where the good news stopped. Three of Apple’s major product categories—the Mac, iPad and its wearables division—suffered sales declines from a year ago. While the iPad did beat analyst estimates, the Mac and wearables categories came in sharply below expectations.
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