iPhone reaches $1.97trn lifetime sales, contributes over 50% of Apple’s total revenue

Apple grossed $115.6 billion from iPhone sales in H1 FY 2024 alone…
iPhone reaches $1.97trn lifetime sales, contributes over 50% of Apple's total revenue

Apple’s iPhone has reached a monumental milestone: surpassing $1.95 trillion in lifetime sales, according to data from Stocklytics.com. This achievement comes amid a backdrop of a recent decline in market share, highlighting the iPhone’s enduring legacy despite intensifying competition.

One quarter after securing the top spot in the smartphone market, Apple was dethroned by tough competition from Chinese brands such as Xiaomi and Huawei. In Q1 2024, Apple shipped 50.1 million iPhones, a decrease of five million units compared to the same period last year.

This indicates that iPhone sales revenue dropped by nearly 10%, reaching $45.9 billion.

Apple’s growth and dominance

Since its debut in 2007, the iPhone has been Apple’s golden goose. Sales figures have steadily climbed, with revenue reaching $78.7 billion just five years after launch. This upward trajectory continued, with 2014 seeing sales surpass $101.9 billion.

Even during economic downturns like the 2019-2020 pandemic, iPhone sales demonstrated remarkable resilience, doubling and reaching record highs in 2022 and 2023. Although there was a slight revenue drop in Q2 FY 2024, iPhone sales remain strong. Apple grossed $115.6 billion from iPhone sales in H1 FY 2024.

Apple to launch iPhone 15 series on September 13, records 1bn paying subscribers

Apple’s ability to keep its smartphones competitive through continuous updates and new releases has cemented the iPhone as its most successful product since its launch in 2007.

Sales figures don’t solely drive the iPhone’s success; it’s also about brand loyalty. The phone has carved a niche, offering a premium user experience and a coveted status symbol. This combination has fuelled skyrocketing shipment numbers.

iPhone’s expansion

As the iPhone evolved with new models and technological advancements, its share of Apple’s revenue continued to grow.

Apple revenue from 2007 to 2014
IMG: Stocklytics.com

The introduction of the App Store in 2008, along with regular updates and new product launches, helped maintain consumer interest and drive sales. The iPhone’s ability to integrate seamlessly with other Apple products and services also played a crucial role in building a loyal customer base.

By FY 2014, the iPhone’s revenue contribution had significantly increased. The release of popular models like the iPhone 6 and 6 Plus saw a surge in sales, contributing to a jump in total iPhone revenue to $101.9 billion.

This period marked a turning point as the iPhone became the centrepiece of Apple’s product lineup, contributing to its status as a tech giant.

Peak sales and record revenue

The years 2022 and 2023 were particularly notable for iPhone sales. Despite global economic challenges, including the COVID-19 pandemic, Apple grossed over $405 billion in just two years.

This remarkable performance was attributed to the release of the iPhone 13 series in 2021, which featured significant upgrades in camera technology, battery life, and processing power, alongside the introduction of 5G capabilities.

As of Q1 2024, the iPhone’s contribution to Apple’s total revenue has more than doubled from its early years, reaching 50.64%. This means more than half of Apple’s revenue now comes from iPhone sales.

Several factors have contributed to this substantial increase.

    Apple has shipped 2.65 billion iPhones in 17 years

    Smartphone manufacturers shipped 1.17 billion smartphones around the world in 2023. Apple led all smartphone manufacturers with 234.6 million units shipped worldwide, followed by Samsung with 226.6 million units, according to data provided by Statista.

    Apple launches new products in the iPhone 14 #AppleEvent

    Around 50 million iPhones were shipped during the first quarter of 2024, nearly a 30 million unit decrease compared to Q4 2024 and a five million increase compared to Q1 2023.

    There has been a tendency to increase Apple smartphone shipments in the fourth quarter every year since 2011.

    A less strong performance in the first quarter of 2024, led by the iPhone 16, gave Apple the second spot in terms of quarterly global unit shipments after Samsung.

    Future outlook

    The competition from other big phone brands underscores the rapidly evolving dynamics of the global smartphone market. Apple’s recent drop in market position highlights the intense rivalry and the importance of innovation and adaptation in maintaining market leadership.

    In summary, the iPhone’s journey from contributing 25% to over 50% of Apple’s total revenue demonstrates its pivotal role in the company’s success.

    Technext Newsletter

    Get the best of Africa’s daily tech to your inbox – first thing every morning.
    Join the community now!

    Register for Technext Coinference 2023, the Largest blockchain and DeFi Gathering in Africa.

    Technext Newsletter

    Get the best of Africa’s daily tech to your inbox – first thing every morning.
    Join the community now!