Apple’s senior vice president of services Eddy Cue is reportedly has identified streaming and advertising as segments with potential revenue growth and is restructuring the company’s services management to accomplish that goal.
Under CEO Tim Cook’s leadership, Apple has launched several services like Music, TV+, Fitness+, News+, Arcade, Apple Pay, Care+, and others. In Q2, 2022, the Services segment generated $19.821 revenue with a $3 billion increase from $16.901 billion for the same quarter the previous year. Now, Cue wants to push that Service segment further.
Apple VP of Advertising Todd Teresi will work with Cue to focus on boosting streaming and advertising in the Services segment
According to Business Insider, Eddy Cue has made changes in the responsibilities of key services executives. The charge of the advertising segment of Services is taken from Apple’s vice president of services, Peter Stern, and given to Apple’s vice president of advertising, Todd Teresi who has been reporting directly to Cue since the start of 2022.
In March, the tech giant announced live streaming of “Friday Night Baseball” MLB games on TV+ which started on April 8. Industry sources claim that the company is in the process of finalizing talks with the National Football League (NFL) to stream “Sunday Ticket” games and this news is corroborated by the new report.
With 17% Y-o-Y growth in the March quarter, the Services hit an all-time revenue record of $19.8 billion in every geographic segment and category. The company’s CFO, Luca Maestri said on the Q2, 2022 earning call that Apple’s paid subscribers base showed strong growth in the past 12 months.
We now have more than 825 million paid subscriptions across the services on our platform, which is up more than 165 million during the last 12 months alone…We continue to improve the breadth and the quality of our current service offerings while launching new services. In the enterprise market, many businesses and government organizations continue to turn to Apple for the latest technologies to deliver innovative services to customers and employees.