Not sure what is new here. It continues to baffles me most analyst still dont get it. ( They are usually not very good with commodity trading )

Actual cost of Apple Silicon is much lower than most expected. Apple has plenty of room to play with those Hardware R&D numbers. Not to mention Modem and Network Silicon.

Apple Services include R&D on Software, development cost of all OS and software shipped by default such as Numbers and Photos. That has been the case since 2014 and again has room for moving margins.

NAND and Memory price dont hit Apple (yet) because Apple sign early contract to ensure supply. Apple is the largest or 2nd largest Smartphone manufacture and if you include all computing devices they are likely number one. Smartphone, Tablet, MacBook and Servers. In commodity market such as NAND and DRAM, not having Apple as base load is equivalent to self destruction. They have a much higher leverage than most people imagine.

Judging from the increase of Active Devices, I would not be surprised if 2025 Google are paying even more to Apple on a per user Default Search engine price.

Apple has been steadily tightening up loops holes or grey area on IAP, especially in China with WeChat and Mini-Apps.

I have been wondering if Apple has increased the usage of Chinese Components for iPhone within China for import Tax deduction. Although no evidence so far have suggested China iPhone 17 are made with screens from BOE only.

I just wish Apple would spend more on fixing bugs.