Apple’s Current Status in AI and iPhone Sales
Apple (NASDAQ: AAPL) is facing criticism for lagging behind competitors in artificial intelligence (AI) advancements but reported strong demand for iPhones in its recent earnings. The company generated a 16% revenue growth for Q4 2025, largely attributed to iPhone sales, beating market expectations and bringing its total active devices to 2.5 billion, up from 2.35 billion the previous year. CEO Tim Cook highlighted “staggering” demand, particularly in China.
Despite these results, Apple’s stock remains down 3% year-to-date as of February 2, 2026. The fiscal year ending September 27, 2025, saw a modest revenue growth of just 6%, reaching $416 billion. The company is partnering with Alphabet to enhance its Siri assistant with AI features, but analysts express concerns over sustainable double-digit growth in the face of high stock valuations, trading at 33 times trailing earnings.
