Strong iPhone Sales will Boost Apple’s Holiday Quarter, with Google AI deal in Spotlight

Core Insights - Apple Inc. is expected to experience significant growth in iPhone sales, particularly with the high-end iPhone 17 Pro models, leading to the highest sales increase in over four years [2] - The company's total revenue is projected to reach a record $138.43 billion, reflecting an 11.4% increase [2] - Apple aims to enhance its iPhone offerings with AI features through a partnership with Google's Gemini, which is anticipated to improve market positioning without substantial investment [3] Financial Performance - Analysts predict a 13.8% increase in iPhone revenue for the October-December fiscal first quarter [2] - Greater China sales are expected to grow by approximately 15%, while services revenue is forecasted to rise by 14.1% [3] - The company held a 20% market share in the global smartphone market in 2025, up from 18% the previous year [2] Market Position and Challenges - Despite strong sales, Apple faces potential margin pressures due to rising expenses linked to a global shortage of memory chips [3] - The stock has seen a decline of 4.70% year-to-date as of January 29, 2026 [4]