Apple is now expected to report over $100 billion in Services revenue — but a giant portion of that is from the App Store, which is facing worldwide legal pressures, which will lead to financial ones.
When Apple reports its Q4 2025 financial results on October 30, it is increasingly expected to exceed previous estimates. That's chiefly because of iPhone demand, but also because Apple's Services continue to grow.
As first spotted by the Financial Times, the latest estimate predicts that Services will prove to have earned Apple $108.6 billion in Apple's fiscal year that ended in September 2025.
That's roughly a doubling of its revenue in the last five years. And that growth has been steady as iPhone sales have been declining. It's now so big that Apple's Services alone exceeds all of Disney's earnings.
Some of the growth is tied to the success of the iPhone, though. Greater than expected sales of the iPhone 17 range mean more potential users for Apple's iCloud, Apple Pay — and the App Store.
In May 2025, Apple published a report about the App Store that read like evidence for the many on-going legal battles it faces. Using some funny math including revenue generated by sales for other companies, Apple said that the App Store economy was worth $406 billion in 2024. In the same report, the company said that it earned just 10% of that.
So while the App Store has continued to grow since then, it's fair to say that it contributes at least $40 billion to Apple. That's 37% of the Services' $108.6 billion.
It's also about double what Google has been paying Apple to be the default search engine on iPhones, which is also Services revenue. That deal was at risk because of the Department of Justice's antitrust case against Google, but has been allowed to continue.
Still very much in contention, though, is the App Store. UK users just win a $2 billion lawsuit because of the App Store's 30% fees, for instance.
It's not clear yet what will happen next in the UK, for instance whether Apple will be forced to drop or change its fees. But Apple is facing similar pressure in India and around the globe.
An EU flag with the App Store logo
In Europe, complaints about the App Store have led to a fine of $570 million — and Apple being forced to support alternatives.
Even allowing third-party App Stores onto the iPhone has not quelled complaints, though.
Future of the App Store
Legal pressures on the App Store from around the world — including the US — are already changing how Apple runs the App Store. Those changes are only going to continue, whether they spawn from reasonable complaints or are from huge businesses looking for a free ride.
Services does include more than the App Store. It encompasses, iCloud storage, Apple Pay, Apple Music, and Apple TV, for instance.
All of these appear to be growing, but it is the App Store that is the greatest piece of the Services pie. In the short term, that's going to continue, and the new $108.6 billion total Services earnings estimate is only going to increase.
Yet over the next few years, it looks certain that legal pressures will cut those App Store profits. And it's not as if Apple Arcade is ever going to take its place.
