As expected, Apple didn’t release sales figures for the Apple Watch during its July 22 earnings call. However, Apple CEO Tim Cook indicated that sales are solid, pushing back against recent reports of the device’s anemic marketplace performance.
“The Apple Watch sell-through was higher than the comparable launch periods of the original iPhone or the original iPad,” he told those on the earnings call, according to a transcript. “Online sales were so great that we did not have inventory in our sales until June.”
Although Apple declined to break out specific numbers, analysts believe the Apple Watch’s revenue totaled approximately $1 billion for the quarter. That number, if accurate, isn’t a huge amount of money by Apple standards—remember, this is a company that earned nearly $200 billion last year—but it surpasses the $888 million that Microsoft’s Surface division earned this quarter, as well as the entirety of Yahoo’s earnings. In other words: not a disaster.
Cook claimed there are 8,500 apps for the Apple Watch, and that updates to the device’s operating system will allow developers to build native apps, which could be faster and more battery-efficient. “Our objective of the quarter wasn’t primarily sales but also how we position the product in the long term because we are starting a new product category,” he added.
For tech pros who might’ve wondered over the past few months whether the Apple Watch would tank—possibly hobbling the wearable-electronics market in the process—there are now indications that the device is probably here for the long term. And for those who’ve been debating whether to build apps or otherwise engage with the platform from a professional standpoint, that’s probably as good a sign as any to start planning a strategy.