Tarriffs fail to dampen enthusiasm for new models
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Tim Cook. (Image: Getty via Future)
Apple reached a market value of $4 trillion (€3.4 trillion) last Tuesday, making it the third major tech company to cross this milestone. This achievement was made possible by the strong sales of new iPhone models, which have eased earlier concerns about a potential slowdown in Apple’s progress in the field of artificial intelligence (AI).
The share price briefly hit $269.8 (€232.1), with a market value of $4 trillion (€3.4 trillion), before retreating and ending the day up 0.1% at a value of $3.9 trillion (€3.4 trillion). Since the launch of the new iPhones on 9 September, Apple shares have gained roughly 13%, signaling a positive turnaround for the stock this year.
The iPhone is a crucial source of income for Apple, accounting for more than half of the company’s profits and sales. Increased iPhone usage expands Apple’s ecosystem and attracts users to its various services and products. Earlier this year, Apple faced fierce competition from China and uncertainty over US import tariffs on Asian manufacturing hubs like China and India.
However, the latest iPhone models, especially the iPhone 17 series and the iPhone Air, managed to regain customer interest within weeks of their launch in markets such as Beijing and Moscow. Apple itself bore the costs for these tariffs.
Analysts suggest that the sleek design of the iPhone Air could help Apple compete effectively with rivals like Samsung Electronics. Data from Counterpoint Research shows that initial sales of the iPhone 17 outperformed its predecessor by 14% in both the United States and China.
Brokerage firm Evercore ISI predicts that robust demand for Apple’s new iPhones will enable the company to surpass market expectations for the quarter ending in September and offer optimistic forecasts for the following quarter.
Though Apple has achieved significant success, concerns remain over its cautious approach to AI. This hesitancy has fueled speculation that Apple may be missing out on a major growth opportunity within the sector.
Reports indicate that Apple is losing some of its top AI executives to Meta. The rollout of the company’s Apple Intelligence suite, including ChatGPT integration, has been sluggish, and an AI update for Siri has been postponed until next year. Reportedly, Apple is exploring partnerships with AI firms like Alphabet’s Gemini AI, Anthropic, and OpenAI.
Despite these concerns, Apple announced strong quarterly results for the April-June period, with double-digit growth in core segments, surpassing analysts’ expectations.
Latest results
Apple announced financial results for its fiscal 2025 fourth quarter ended 27 September 2025 today. The Company posted quarterly revenue of $102.5 billion, up 8% year-on-year. Diluted earnings per share was $1.85, up 13% year-on-year on an adjusted basis.
“Today, Apple is very proud to report a September quarter revenue record of $102.5 billion, including a September quarter revenue record for iPhone and an all-time revenue record for Services,” said Tim Cook, Apple CEO.
“In September, we were thrilled to launch our best iPhone lineup ever, including iPhone 17, iPhone 17 Pro and Pro Max, and iPhone Air. In addition, we launched the fantastic AirPods Pro 3 and the all-new Apple Watch lineup. When combined with the recently announced MacBook Pro and iPad Pro with the powerhouse M5 chip, we are excited to be sharing our most extraordinary lineup of products as we head into the holiday season.”
“Our September quarter results capped off a record fiscal year, with revenue reaching $416 billion, as well as double-digit EPS growth,” said Kevan Parekh, Apple’s CFO. “And thanks to our very high levels of customer satisfaction and loyalty, our installed base of active devices also reached a new all-time high across all product categories and geographic segments.”
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