Apple's services division, including Apple Music, Apple Pay, the iTunes and App Store among other things, reached an all-time revenue high in the past quarter. According to the company's latest earnings report, sales from services climbed to $11.46 billion between April and June, up from $10.17b last year and from $11.45b in the preceding quarter. In recent years, services have grown into Apple's second largest source of revenue, accounting for 21 percent of total sales in the past quarter.
Having been considered a tool to keep consumers locked in Apple’s universe and ultimately improve hardware sales for many years, recent statements and actions indicate that Apple has started embracing services as an opportunity of its own rather than an instrument to sell more iPhones. Bringing Apple Music to Amazon Echo devices
and Apple TV streaming to smart TVs
would have been unthinkable a couple of years ago, as it goes contrary to Apple’s (in)famous walled garden approach. Apple's declared goal is to double the size of its services business between 2016 and 2020. As the following chart shows, the company is on track to achieve that goal.