Apple TV sale 'huge' on Day 1, says CEO Cook

By Jim O'Neill on Oct 28 2015 at 8:30 AM
Apple TV sale 'huge' on Day 1, says CEO Cook

Waiting for your new Apple TV? You aren’t alone, as Apple CEO Tim Cook, during its quarterly earnings call with analysts Tuesday said sales for the new device had a “huge first day,” becoming available for pre-order on Apple’s online storefront.

“Yesterday, we started taking orders for the all new Apple TV and it was a huge first day for this exciting new product,” Cook said. “We want to provide the same innovation in the living room that we delivered in our iOS devices. People are already watching more TV through apps today and we think apps represent the future of TV.”

Although the device was promised for October, only buyers willing to pay for expedited delivery (and there will be plenty of them) can still get it this month, maybe. The site promises delivery of the 32-gigabyte ($150) or 64-gigabyte ($200) versions between Oct. 30 and Nov. 3. Orders placed today for the free-ship option are promised to be delivers between Nov. 2 and Nov. 4.

Best Buy also is touting pre-orders for the streaming set-top box – that also includes game access -- for a Nov. 4 in-store pickup. As for Apple’s own stores, no announcement yet, but the devices likely will also be available Nov. 4.

The new Apple TV includes an improved A8 system-on-a-chip, the same one that’s in the iPhone 6, 2 GB of RAM, a new remote with glass touchpad, accelerometer, and gyroscope and a new-look iOS specifically for Apple TV, tvOS. And, of course, Siri voice control with deep search functionality and a dedicated App Store for installing third-party apps.

Cook, meanwhile, also told analysts on the call that Apple Music would be available on the new Apple TV next week, too.

Still no word, though, on Apple’s own streaming service, which was initially set to debut in Q4. Rumors have it pushed out at least one more, and perhaps two quarters.

By the numbers:

  • Quarterly profits were up 31% to $11.1 billion ($1.96 earnings per share) from $8.47 billion ($1.42 per share), beating estimates of $1.88.
  • Q4 revenues also beat estimates, up 22% to $51.5 billion from $42.12 billion a year ago.
  • Apple sold more than 48 million iPhones in the quarter, up from 39 million a year ago, and saw revenue from them of $32.21 billion. Of the sales, 30% came from consumers switching from Android phones, the largest ration Apple has ever seen.
  • 9.89 million iPads also were sold (down 20% Y/Y and 10% Q/Q).
  • The company said it sold 5.71 million Macs, which Cook said defies the negative trend in the PC market.
  • Apple closed the quarter with $25.7 billion in cash.

Stay tuned.

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