Apple reported record-breaking iPhone sales in the final three months of last year, driving a 16% revenue increase to $144 billion, according to a report released Thursday. The surge in iPhone sales, the strongest growth since 2021, was fueled by increased demand in China, Europe, the Americas, and Japan, according to the tech firm.
While iPhone sales soared, other areas of Apple's business experienced a downturn. Sales of Mac computers decreased by just over 7%, and wearables and accessories, including the Apple Watch and AirPods, fell by roughly 3%, the company reported. Apple CEO Tim Cook stated the company was in "supply chase mode" to meet the high demand for iPhones.
In other business news, Facebook-owner Meta is planning a significant increase in spending on artificial intelligence (AI) projects. The company expects to spend up to $135 billion this year, nearly double the $72 billion spent last year, primarily on AI infrastructure, according to a call with financial analysts on Wednesday. Meta CEO Mark Zuckerberg said he expects "2026 to be the year that AI dramatically changes the way we work." Over the past three years, Meta has invested approximately $140 billion in an effort to lead the AI boom.
Meanwhile, the US dollar has experienced a recent decline, hitting a four-year low against a basket of currencies on Tuesday. The dollar fell 3% in roughly a week, reaching multi-year lows against the Euro and the pound. While the slide has slowed, analysts anticipate further weakening of the dollar this year. "Most people would think the dollar should, could, and would weaken further this year," said Chris Turner, global head of financial market research at ING.
In international affairs, former US President Donald Trump has cautioned the UK against closer ties with China. His warning came after British Prime Minister Sir Keir Starmer's trip to Beijing to secure lower tariffs and better access to the Chinese market. Trump stated it was "very dangerous" for the UK to do business with China, according to reports.
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