This year, Apple expects its Services revenue to hit $50 billion. The company has had a goal of doubling the revenue generated from this unit from the $25 billion it collected in fiscal year 2016. Apple's goal to grow its Services business was a smart one since it came after iPhone sales had peaked in fiscal year 2015. Services revenue depends on the number of active iPhone units, close to 1 billion at last count. That's because many-not all-of the businesses in this division produce recurring revenue from subscriptions.
The businesses in this division include the App Store, iTunes, iCloud, Apple News+, Apple Music, Apple Arcade, AppleCare+, Apple Pay, Apple TV+, Apple Card and more. For the fiscal first quarter of 2020 (which covers the 2019 holiday shopping season), Apple reported Services revenue of $12.72 billion which would be an annual rate of over $50 billion. One of the new Services businesses that helped take the company over the $50 billion revenue rate is Apple TV+.
One year of Apple TV+ is free to those purchasing an Apple device (like an iPhone, for example). Otherwise, Apple offers a free one-week trial followed by a monthly charge of $4.99. Apple TV offers original programming with The Morning Show arguably the best of the bunch. It features an all-star cast that includes Jennifer Aniston, Reese Witherspoon, and Steve Carell.
According to Seeking Alpha, BMO Capital Markets analyst Daniel Salmon says that Apple TV+ could have 94.9 million subscribers worldwide by 2028. Compare that to the 27 million that subscribed to the streamer last year. Assuming that Apple doesn't change the pricing by then (and that is a big assumption), the service will generate $473.6 million in revenue in 2028. He sees the number of U.S. subscribers over the same period rising from 18 million to 42.7 million. According to the analyst, "The early nature of the content offering suggests that a wide range of potential penetration rates of the Apple device owner base should be assumed at this stage."
Speaking about streaming content, 9to5Toys notes that Apple has a sale on some red hot films including Joker. If you haven't seen this movie, which shows a different take on the genesis of Batman's most famous nemesis, you need to rent it ($5.99) or buy it ($9.99). Apple normally charges $19.99 to buy the movie which stars Academy Award winner Joaquin Phoenix. Other movies that are normally $19.99 that are currently on sale for $9.99 include:
Apple also has a 99 cent HD rental for the highly acclaimed movie Lady Bird. This film received a 99 score from Rotten Tomatoes and stars versatile actress Laurie Metcalf.
If you own an iOS device, there is plenty of outstanding content available to keep you busy.