Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Stay on top of the latest market trends

Subscribe to Axios Markets for the latest market trends and economic insights. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sports news worthy of your time

Binge on the stats and stories that drive the sports world with Axios Sports. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tech news worthy of your time

Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Get the inside stories

Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Denver news?

Get a daily digest of the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Des Moines news?

Get a daily digest of the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Twin Cities news?

Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Tampa Bay news?

Get a daily digest of the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Charlotte news?

Get a daily digest of the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Apple

Apple reported quarterly earnings and revenue slightly ahead of what Wall Street was expecting, but more importantly issued a strong forecast for the current quarter.

Bottom line: All eyes will be on what Apple has to say (or not) about the next iPhone. But investors were encouraged by the company's financial outlook, which calls for revenue for the current quarter and runs through the end of September, to be between $49 billion and $52 billion.

Stock soars: Apple's stock rose in after-hours trading. Shares were recently at $158.03, up nearly $8 per share, or more than 5%.

iPad up: Revenue from the iPad. which has been posting declines for a while, was up 28% from the prior quarter and 2% from last year.The iPhone saw revenue up 3% from the prior year, while Mac sales were up 7%. Revenue from services, the fastest growing part of Apple's business, was up 22%.

China down: From a global standpoint, Apple's China business continues to be weak, down 10% rom a year ago, while all other parts of the world were up.

Here are some other facts Apple shared on its conference call:

  • iPad sales were especially strong in the U.S. education market, up 32% year-over-year
  • The company has now sold 1.2 billion iPhones in the smartphone's first decade
  • Sales of the Apple Watch were up over 50 percent in the quarter
  • Tim Cook says Apple is increasing production capacity for its wireless AirPod earbuds but still can't meet demand
  • Cook highlighted augmented reality as a key feature of this fall's iOS 11. "It's clear that ARKit has captured the imagination of our developer community," Cook said, noting that the iPhone will instantly become the largest augmented reality platform as soon as iOS 11 is released.
  • In reviewing recent announcements, Cook teases more big leaps coming: "We might even have some others to share with you later in the year."
  • The average selling price for iPhone was $606, up from a year ago on a higher mix of the large screen iPhone 7 Plus. But that was still below what some analysts were expecting. Apple said currency exchange rates were a factor.
  • Counting Apple Music and iCloud storage, Apple now has 185 million paid subscriptions, up 20 million from the end of the prior quarter.
  • As for China, Cook noted that business in mainland China was roughly flat, with most of the decline in Hong Kong.
  • Asked about the autonomous car efforts, Cook said that Apple is working hard on autonomy. "We do have a large project going and are making a big investments," he said, adding that autonomy is the "mother of all AI projects," but not limited to vehicles.
  • On the recent move to remove VPN apps from the App Store in China, Cook said Apple had no choice under local law, but expressed hope the crackdown need not be permanent.

Go deeper

Cuomo asks New York AG and chief judge to choose "independent" investigator into sexual harassment claims

New York Governor Andrew Cuomo at a press conference on Feb. 24. Photo: Seth Wenig/pool/AFP via Getty Images

A special counselor to New York Gov. Andrew Cuomo released a statement Sunday asking the state's attorney general and chief judge to jointly pick an "independent and qualified lawyer in private practice without political affiliation" to investigate claims of sexual harassment against the governor. The AG's office subsequently turned down the offer, saying it wants to conduct its own probe.

The state of play: The statement is an about-face from Cuomo, who had previously selected a former judge close to a top aide to lead the investigation, the New York Times reported, a move that was widely criticized.

Republican Sen. Sasse slams Nebraska GOP for "weird worship" of Trump after state party rebuke

Sen. Ben Sasse, (R-Neb.) Photo: Andrew Harnik - Pool/Getty Images

The Nebraska Republican Party on Saturday formally "rebuked" Sen. Ben Sasse (R-Neb.) for his vote to impeach former President Trump earlier this year, though it stopped short of a formal censure, CNN reports.

Why it matters: Sasse is the latest among a slate of Republicans who have faced some sort of punishment from their state party apparatus after voting to impeach the former president. The senator responded statement Saturday, per the Omaha World-Herald, saying "most Nebraskans don't think politics should be about the weird worship of one dude."

Cuomo barraged by fellow Dems after second harassment accusation

New York Gov. Andrew Cuomo faced a barrage of criticism from fellow Democrats after The New York Times reported that the second former aide in four days had accused him of sexual harassment.

Why it matters: Cuomo had faced a revolt from legislators for his handling of nursing-home deaths from COVID. Now, the scandal is acutely personal, with obviously grave political risk.

You’ve caught up. Now what?

Sign up for Mike Allen’s daily Axios AM and PM newsletters to get smarter, faster on the news that matters.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!