In 2024, Apple will release its first new hardware product in close to a decade. If demand for the bulky Vision Pro virtual reality headsets is high, the company will be one step closer to proving that its future does not rest on iPhone sales.
Add a billion paying subscribers and a vast cash pile and its position as the most valuable stock makes sense. In the past five years it has surpassed $1tn, $2tn and $3tn market cap milestones. But its path to becoming the world’s first $4tn company will be steeper.
On the plus side, Apple’s net income margin has remained high thanks to growth in services such as streaming and payments. However, revenue is forecast to drop 3 per cent in fiscal 2023 year as global demand for new smartphones slows. VR headsets are not expected to make up for this decline.