Apple’s earnings show that, yes, it really is time for some new iPads

Less than a week before the highly anticipated iPad hardware event, Apple has shared its Second Quarter 2024 Earnings today, and the numbers paint a predictable picture for the increasingly outdated tablet lineup. iPad revenue fell substantially once again (17% year over year) amid the longest wait ever for new models – something Apple is just days away from finally fixing. At the same time, iPhone sales have slowed a bit (down 10%), while the company’s services business continues to be the star of the show. There was a 14% increase compared to the same quarter last year.

Apple also launched its Vision Pro headset during this quarter, but CEO Tim Cook hasn’t given any indication of how things are going. “During the quarter, we were excited to launch Apple Vision Pro and show the world the potential that spatial computing opens up,” he said in this afternoon’s press release.

This is the last earnings report before Apple’s WWDC conference in June; that’s where the company will reveal its approach to bringing generative AI software capabilities to iOS, macOS, iPadOS and its other platforms. “We believe in the transformative power and promise of AI and we believe we have advantages that will differentiate us in this new era,” Cook said on the earnings call with analysts.

Apple is said to be exploring potential partnerships with Google and OpenAI. The initial wave of AI features are expected to run on the device, Bloomberg‘, reported Mark Gurman, which could help them work faster while adhering to Apple’s privacy standards.

But before all that, Apple is expected to announce new iPad Pros (with OLED screens for the first time) and revamped iPad Airs next Tuesday – with a host of new accessories to accompany the long-awaited devices. On the edge will cover the virtual event live as it happens, so you’ll want to join us next Tuesday morning for the full scoop.