Apple has drawn attention with its strong financial performance in the second quarter of 2025; the company’s biggest source of profit is no longer hardware products, but digital services. The segment, which has maintained its growth momentum for a long time, reached the highest levels in Apple’s history in terms of both revenue and gross profit margin in this quarter.

Here’s where Apple is making the most profit

The Services segment includes digital solutions integrated into the Apple ecosystem, such as the App Store, Apple Music, iCloud, Apple TV+, AppleCare, and advertising services. Thanks to its large user base, this area has become a stable revenue model, accounting for approximately 21% of the company’s total revenue.

This ratio demonstrates how strategic digital services have become for Apple. With total service revenue reaching $100 billion annually, it has become a major business segment on its own.

The services division, which generated total revenue of $26.64 billion, achieved a gross profit margin of 75.7%, making it Apple’s most profitable business segment. This margin marks the highest gross margin the company has ever achieved in any segment.

Despite the slowdown in hardware sales growth, the services offered directly contributed to the company’s overall profitability, helping Apple maintain a strong financial position.

What are your thoughts on this matter? Do you think the company can sustain this success? Share your opinions with us in the comments section below.