CUPERTINO, CA (CelebrityAccess) — Apple shares went into a tailspin on Tuesday after the company disclosed their first drop in revenue in more than 13 years as a part of their earnings report for the second fiscal quarter.
Apple had previously sought to temper investor expectations for the quarter after sales of the iPhone, the company's primary revenue driver slid by 16% over the previous year. In the quarter, Apple sold 51.2m phones $32.9bn, down from 61.2m phones for $40.3bn during the same time period last year.
As well, Apple sold 10.3 million iPads, down 18 percent from last year, and 4 million Macs, down 13 percent.
The company attributed their electronics woes to the struggling Chinese consumer electronics market. Apple's Chinese operation reported a decline of more than 25% of its value, dropping from revenue of in $18.4bn in 2015 to $12.5bn in 2016.
However, despite the headwinds faced by Apple's tangible products, the company's new music service was a bright point the earnings report. Apple claimed that subscriber base for the service had swelled to 13 million in the past month and that revenue for the service was up by 20% in 2016. Overall, Apple Music is now the second largest revenue segment for the company. – Staff Writers