Apple earns more from wearables than iPad and Mac devices
According to a new report, Apple will be grossing more from the AirPods and Apple Watch devices than from its tablet and computer categories by the end of next year.
Above Avalon estimated this based on the company’s financial model. Keep in mind that this is an estimate, but probably an accurate one.
According to Neil Cybart, Apple has sold more than 70 million wearable devices in a year. This category is growing at a rate of between 55% and 60% per year. In terms of overall unit sales, around 20% of all Apple gadgets sold are now wearables.
AirPods sales alone will grow by an estimated 80%. The company is also benefiting from the increased prices of both Apple Watch and AirPods devices.
Moreover, looking at the change in revenues between Q3 2018 and 2019 the analysts estimate that Apple’s wearables are now second behind its services sector with $1.2 billion in revenue. Going forward the report predicts that the company will only enhance its domination in the wearables sector thanks to its massive user base and popularity.