Apple says iPhone had its best quarter ever, with revenue topping $85.3 billion over the past few months. The company announced the news as part of its Q1 2026 earnings report, which also revealed record-breaking revenue of $143.8 billion, up 16 percent from the same period last year.
“Demand for the iPhone was amazing, with revenue growing 23 percent year over year,” Apple CEO Tim Cook said during a call with investors. “This is our strongest iPhone lineup yet, and our most popular yet.”
According to Cook, supply has been “constrained” due to “high levels” of demand for the iPhone 17. He says the company is “seeing less flexibility in the supply chain” when it comes to the availability of advanced process nodes used to make the device’s chips. Meanwhile, Apple’s Services revenue, which includes subscriptions like Apple Music, iCloud and Apple TV, grew 14 percent year over year, while Mac and wearables revenue declined.
In the coming months, Apple will bring promised AI-powered personalization features to Siri. Apple is partnering with Google to power this upgrade, which will use a custom version of Google’s Gemini AI model.
The company is also acquiring an AI startup called Q.ai for $2 billion, according to financial Times. Although there are no details on how Apple plans to use the startup’s technology financial Times The report said Q.ai’s patents “show its technology being used in headphones or glasses that use ‘facial skin micro-movements’ to communicate without talking.”
<a href