Microsoft on Tuesday announced changes to its revenue sharing model with developers that will significantly undercut Apple and Google.
Starting later this year, the company says developers will receive 95 percent of the revenue earned from sales of their apps or in-app purchases on the Microsoft Store, excluding games and apps sold to organizations, but only when a customer uses a direct link to access and purchase the app.
If the customer was referred to the app by Microsoft, such as in a featured collection on the Microsoft Store, developers will receive 85 percent of revenue. The new fee structure will apply to Microsoft Store purchases on all Windows and [...]
Apple today announced financial results for the second fiscal quarter of 2018, which corresponds to the first calendar quarter of the year.
For the quarter, Apple posted revenue of $61.1 billion and net quarterly profit of $13.8 billion, or $2.73 per diluted share, compared to revenue of $52.9 billion and net quarterly profit of $11.0 billion, or $2.10 per diluted share, in the year-ago quarter. The revenue, profit, and earnings per share numbers were records for any second fiscal quarter in the company’s history.
Gross margin for the quarter was 38.3 percent, compared to 38.9 percent in the year-ago quarter, with international sales [...]
Apple’s services category has continued to see rapid growth and it is becoming an increasingly important revenue driver for Apple.
In the second fiscal quarter of 2018, Apple’s services brought in $9.19 billion in revenue, up 31 percent compared to the $7 billion in revenue services earned in the second quarter of 2017.
For the last several quarters, Apple’s services revenue has grown so quickly that Apple sets a new record with each earnings announcement, and the second quarter of 2018 is no exception. Apple’s services category includes iTunes, the App Store, Apple Music, iCloud, Apple Pay, and AppleCare.
Apple CEO Tim [...]
Apple’s services revenue is growing at a rapid pace and is on track to be the company’s primary revenue driver in the future, according to a note Morgan Stanley analyst Katy Huberty shared with investors this morning (via Business Insider).
Huberty believes that over the course of the next five years, services revenue growth will contribute more than 50 percent of Apple’s total revenue growth. The iPhone, meanwhile, will make up just 22 percent of revenue growth during the same time period, despite the fact that it’s contributed 86 percent of Apple’s revenue growth over the past five years.
Although „over the last five years, the [...]