Apple hits record $111.2B quarterly sales as Cook steps down
Original: As Tim Cook steps down, Apple hit record sales — but a chip shortage looms
Why This Matters
Record sales amid CEO transition, but chip shortage threatens Apple's hardware business model
Apple reported record March quarter revenue of $111.2 billion with double-digit growth across all regions, driven by iPhone 17 demand. However, outgoing CEO Tim Cook warned of rising memory chip costs due to AI industry demand creating supply shortages.
Apple achieved its best March quarter ever with $111.2 billion in revenue and double-digit growth across every geographic segment, CEO Tim Cook announced Thursday. The iPhone 17 lineup drove record iPhone revenue for the quarter. However, Cook warned of 'significantly higher memory costs' ahead due to the AI industry's massive demand for memory chips, dubbed 'RAMaggedon.' Apple spent more on memory chips in March but offset costs by selling stockpiled inventory. The shortage has reportedly quadrupled RAM costs, impacting iPhone production and potentially forcing price increases. Cook noted 'less flexibility in the supply chain' for obtaining parts. John Ternus, incoming CEO and current senior VP of hardware engineering, praised Cook as 'one of the greatest business leaders of all time' during the earnings call.