>> Wednesday could be the day Apple becomes the world's first company with a $1 trillion stock market value. Apple, the world's most valuable company, soothing fears of an all-out tech wreck, the tech giant Tuesday showing it can still pull in customers for its higher priced models. That was enough to drive better than expected revenues and profits from the most recent quarter, Silicon Valley reporter,
>> One of the big drivers was an increase in the iPhone average selling price, so Apple said the three top selling iPhone models were the new iPhones from last year, iPhone 10, iPhone 8, and the iPhone 8 Plus. So what they saw is in great demand for all of those around the world, including in China and across all their geographies.
So that was one big driver. Another big driver was subscription sales, which includes Apple taking a cut of all subscriptions that are sold on different apps on the App store. They also get services revenue from the Apple Music, from Apple Care, which is sort of their warranty protection coverage.
>> The services side of the business grew even faster than Wall Street hoped. Services have grown in importance since they can unlock other revenues for Apple after the initial purchase of an iPhone or other device.>> The big concern about Apple has been, they make all their money from the iPhone.
Can they keep pace, can they keep doing it? Has the amount of people in the world who can buy iPhones and afford iPhones is sort of dwindling. Well Apple shared again their services business is growing incredibly,>> Throw in robust sales of other products like the Apple Watch and AirPod headphones, and Apple is feeling optimistic.
The outlook for the current quarter is better than hoped, but that could all change if a trade spat between the US and China heats up and Apple ends up on a tariff hit list.