New laws and a decline in games put pressure on Apple's services

Apple services are facing regulatory pressures and a mobile gaming slump, while leadership looks toward AI integration across third-party apps and partnerships for future growth.

During a recent earnings call, Apple CFO Kevan Parekh said that artificial intelligence offers opportunities through partnerships, third-party apps, and its own products. However, he did not provide further details on how it plans to leverage third-party apps.

At the same time, according to Reuters, investors are wondering whether Apple could make money by distributing advanced artificial intelligence programs through its app store and taking a commission from sales.

Pressures and lost revenue for the app store

App store revenue has been hit in some markets by new laws and court rulings. In particular, a legal battle with Epic Games forced the company to allow apps to direct users to external payment systems, while defeats in European Union courts further restricted its practices.

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Analysts have forecast a significant decline in commission revenue in the United States, as well as a decline in countries such as Brazil and Japan. Despite these challenges, Parekh noted that app store performance in the September quarter was in line with last year, with record paid subscriptions and significant growth for third-party apps.

Predictions for the future

The company continues to face headwinds in its mobile gaming business, with those challenges expected to continue. For the December quarter, Apple estimates its services growth will be between 8% and 9%, taking into account ongoing challenges from distribution agreements and currency fluctuations.

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