Netflix Moves Away from iTunes Billing for New Subscribers, Apple Releases Reclassified Sales Data, Thoughts on Decelerating Apple Services Growth

Today's Above Avalon daily update includes the following topics: 

  • Netflix Moves Away from iTunes Billing for New Subscribers

  • Apple Releases Reclassified Sales Data

  • Thoughts on Decelerating Apple Services Growth

We begin today’s email with my thoughts on Netflix no longer allowing new subscribers to sign up using iTunes billing. The discussion then turns to Apple’s reclassified sales data, including revised quarterly totals for Services revenue. The new numbers shine a different light on the $10.8B 1Q19 Services revenue figure that Tim Cook disclosed last week. We conclude with a look at how Apple Services revenue growth is decelerating and the two likely factors behind the slowdown.

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Four Takeaways from the WSJ’s Report on New iPhones, Thoughts on CES 2019, Using Design to Think Differently and Marginalize Industries

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Deep Dive into Tim Cook’s Interview with CNBC’s Jim Cramer, Estimating Apple Watch Sales, Estimating AirPods Sales