Mac revenue fell 34% from last year, but Tim Cook expects 'significant' improvement with Mac M3

by Julie Clover

Apple today released its fiscal fourth quarter 2023 (third calendar quarter) earnings results, and Mac revenue fell significantly year over year.

Mac sales were $7.6 billion in the fourth quarter of 2023, down 34 percent from $11.5 billion in the prior quarter of the year. Mac revenue for all of 2023 was $29.4 billion, up from $40.2 billion in 2022.

Apple Chief Financial Officer Luca Maestri attributed the drop to challenging market conditions and difficult comparisons with last year's Mac lineup. Supply chain issues in June 2022 caused Mac sales to surge in September 2022, which did not happen this year. Apple also updated the MacBook Air in June 2023 instead of September, which impacted sales for the September quarter compared to last year.

Apple released the new M3, M3 Pro and M3 Max Macs in late October , but sales of these devices will be reflected in the December quarter. Apple CEO Tim Cook told CNBC he expects Mac performance to improve over the holidays.

“I think the December quarter for the Mac will be significantly better,” Cook said. “We have the M3, we have new products, and we don't have the year-to-year comparison phenomenon,” Cook said.

Apple began allowing customers to buy new M3 Macs on Monday, with shipments beginning next week. It looks like Apple has enough new models that there shouldn't be any supply constraints during the upcoming holidays.

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