By Staff Writer California

Apple has reported record-breaking demand for its latest smartphone, with the iPhone 17 becoming the most successful launch in the company’s 50-year history.

Financial results released on Thursday show that overall sales grew by 17% to $111bn (£81bn) in the first three months of the year. The growth was spearheaded by an “extraordinary” performance in China, where sales rose by 28% compared to the previous year, outpacing all other global regions.

Tim Cook, Apple’s outgoing chief executive, described the momentum as unprecedented. While the iPhone continues to dominate, sales of other hardware—including the Mac and Apple Watch—remained largely flat. However, the new “Macbook Neo,” a more affordably priced laptop, reportedly saw “off the charts” demand from new buyers.

A new era of ‘Privacy-First’ AI

The results come as Apple prepares to roll out its new artificial intelligence suite, “Apple Intelligence.” Unlike its competitors, who have invested heavily in building their own massive AI models, Apple has opted for a partnership model, integrating technology from OpenAI and Google.

Mr. Cook emphasised that the company’s strategy focuses on making AI an “essential and intuitive” part of the device while maintaining strict user privacy. By acting as a platform for other models rather than a primary developer, Apple remains less exposed to the financial risks currently facing the broader AI industry.

Leadership transition

The quarterly briefing also marked a significant moment for the company’s leadership. Mr. Cook, who is set to transition to the role of chairman on 1 September, introduced his successor, longtime hardware executive John Ternus.

Mr. Ternus told analysts he plans to maintain Apple’s hallmark financial discipline while hinting at an “incredible roadmap” of future products.

Tech Sector Roundup

• Reddit: The social media platform reported a 69% jump in revenue to $663m. Chief executive Ladd Huffman noted that half of the US population now visits the site weekly. He added that Reddit’s data is becoming increasingly valuable for training AI models due to its focus on “actual intelligence” and human conversation.
• Roblox: The gaming giant saw its shares tumble by 20% after failing to meet user growth expectations. The company attributed the slowdown to stricter age-verification checks designed to protect younger users, which restricted some on-platform communication.