Joe Rossignol:
John Ternus will participate in his first Apple earnings call as the company’s CEO today
Apple (transcript, Hacker News):
The Company posted quarterly revenue of $114.5 billion, up 12 percent year over year. Company gross margin was 47.9 percent, including a favorable impact of approximately 1 percentage point from tariff refunds.
[…]
“Our record September quarter capped off a strong fiscal 2026, with all-time record revenue of $479 billion and double-digit EPS growth,” said Kevan Parekh, Apple’s CFO.
Jason Snell (MacRumors):
iPhone revenue was up 17.5%, Mac revenue was up 23.7%, and Services revenue was up 9.8%. Wearables revenue was down 7.9% and iPad revenue was down 10.4%.
Jason Snell (MacRumors):
Apple CFO Kevan Parekh said it was the best iPhone year in every single Apple geographic segment.
Meanwhile, the Mac—a 42-year-old product!—had its best year ever. Interestingly enough, it wasn’t in total revenue (2021 still holds that record), but in total units.
[…]
Obviously, Apple sees iCloud+ growth as a new place to drive Services revenue.
[…]
This is the reality of Apple’s business right now: It has raised prices across the board, and it’s eating margin.
Newton Gitonga:
Apple is about to feel the squeeze from rising memory prices, with the cost of RAM climbing just as the company heads into its busiest shopping season. According to Reuters, Apple expects to pay more for memory in the December quarter, with the CEO, John Ternus, describing the current price increases as “unprecedented.”
[…]
But that cushion is getting thinner, and Apple expects memory purchases to become even more expensive into 2027.
Stephen Nellis (Hacker News):
Apple said it expects gross margin of 45% to 46% in the quarter ending in December, down from 47.9% in the fourth quarter. It forecast services revenue growth of 8% to 9%, below analysts’ expectations of 10.7%.
The Guardian (Hacker News):
While its rivals are facing investor uncertainty over huge investments in artificial intelligence, Bourne said Apple’s “tepid approach” to AI infrastructure spending had helped preserve its cashflow – while partnerships with companies such as Alphabet could help the iPhone maker strengthen its AI capabilities without taking on the same financial risks as its peers.
Hartley Charlton:
Apple’s research and development (R&D) spending increased by $11.22 billion in fiscal 2026, reaching $45.77 billion, according to the company’s financial statements.
[…]
Apple previously linked its growing development budget to AI. During its April earnings call, CFO Kevan Parekh said AI investment would come on top of spending already planned for Apple’s product roadmap.
Previously:
Apple Apple Quarterly Results Apple Services Artificial Intelligence Business iCloud+ iPad iPhone John Ternus Mac MacBook Neo
Satya Nadella:
Fiscal year 2026 was another record year for the company. Revenue was $331.8 billion, up 18 percent year-over-year. Microsoft Cloud revenue was $214.4 billion, up 27 percent year-over-year. Azure grew 41 percent year-over-year and surpassed $100 billion for the first time, while Microsoft 365 Copilot reached over 30 million paid seats. And operating income was $155.2 billion, up 21 percent year-over-year.
Microsoft:
Microsoft Corp. today announced the following results for the quarter ended September 30, 2026, as compared to the corresponding period of last fiscal year:
- Revenue was $92.3 billion and increased 19%
- Operating income was $45.9 billion and increased 21% (up 22% in constant currency)
Prosper Junior Bakiny:
Microsoft debuted a new reporting structure with two segments this quarter. The first, Agents and Infra, did most of the heavy lifting. Revenue from this unit was $76.8 billion, up 25% year over year. Microsoft Cloud revenue jumped 30% year over year to $63.9 billion, while Azure revenue grew 48% year over year to $33.2 billion.
Alex Halverson (Hacker News):
Microsoft only expects a fraction of the 60,000 employees who received buyout offers Monday to accept those packages and leave the company.
[…]
The buyouts, which cover roughly a quarter of the company’s workforce, come as it tries to control its labor costs while avoiding layoffs.
AbbeFaria:
Ex-MSFT here. I resigned in June, I was an L63. I spent 8 years at MSFT across two stints.
My last 18 months at MSFT were deeply unproductive. Constant reorgs, the work not being aligned to my capabilities and unfortunately just the general feeling that I was under worked and had very little opportunity for career advancement.
[…]
In the end, I left off my own volition. In my last 6 months, I did very little work, if at all any. I thought why am I being paid so handsomely for such little and trivial work. I did try interviewing in a few different teams but didn’t make it (Azure Files and Hyperscale DB). If I had stayed, I would have been swiftly laid off or if I was lucky enough last long till this buyout.
Dare Obasanjo:
Earlier this year, Microsoft offered voluntary retirement to 8,750 employees. About 2,625 (30%) accepted.
It then laid off another 4,800 employees in July, followed by hundreds more in September.
Dare Obasanjo:
A high performer at Microsoft (200/200 means they got 200% of target bonus and stock compensation) was advised by their manager to take the voluntary retirement program.
Assuming the previous 30% acceptance rate, Microsoft needs 18,000 people to leave the company. There will be layoffs otherwise.
Previously:
Artificial Intelligence Business Layoffs Microsoft Working
Eugene Kim:
Amazon is overhauling its AI strategy, winding down many in-house models, reorganizing teams, and focusing engineers on a new strategy to compete at the frontier, according to people familiar with the matter.
The changes follow layoffs in Amazon’s Artificial General Intelligence, or AGI, organization last week and the shutdown of AGI Lab, a research group it created in 2024 after hiring most of the team behind AI startup Adept.
Joe Wilkins (Hacker News):
Instead, labor and computing power are being diverted toward a singular “frontier-model effort” led by Pieter Abbeel, director of the Berkeley Robot Learning Lab whose robotics company Covariant was hoovered up by Amazon in 2024. At the time Abbeel joined the tech giant, Covariant’s founders were working on AI models for robots, which lines up pretty well with Amazon’s push to automate everything it possibly can.
News of the shift in Amazon’s strategic focus comes a week after it closed one of its key AI offices in San Francisco, an 80-person site specializing in research on artificial general intelligence, the supposed next-level of AI development where the tech obtains human-level intelligence and reasoning skills.
Corey Quinn (Hacker News):
Conveniently, this week Amazon published a treatise by Terk Terkowitz, a VP/Distinguished Engineer/Final Boss of Their Independent Contributor Technical Career Track, on the role of the developer in the age of AI.
[…]
The memo says “If your work does not benefit from current AI tooling, that is a finding, not a failing.” Document it, bring it to your manager, work through the problem. I agree with every word of that! The question is whether anyone’s promo doc is gonna survive citing it.
Here’s what happens next. The memo concedes that input metrics are “deeply flawed,” but then in the next paragraph says to go ahead and use them anyway, carefully. It then warns that non-adopters are falling behind. Those are three different positions within three sentences and they’re not at all aligned with one another.
Previously:
Amazon Artificial Intelligence Business Layoffs Working
Charles C Counselman III:
About 15 seconds after it was launched, it would quit because, it said, I had done nothing for 60 minutes. After this had happened several times, consistently, l went to 1Password’s Support website. I read all the info and advice there, but I found nothing relevant, so I e-mailed support@1password.com. I got a reply saying, yes, that happens when you migrate to a Mac with Apple Silicon. You must uninstall 1Password, then download and install the latest version.
[…]
The fresh version of 1Password exhibited the same bug.
[…]
I launched 1Password on [my old] Mac. It opened and declared that it could not do anything for me because my account had been closed. I had not closed my account, at least not deliberately.
[…]
After more than 72 hours, AgileBits has not replied to my bug report and request for help.
He is able to access the passwords via Safari, so I guess the message about his account being closed was in error. It’s still possible to use passkeys, as the browser extension can talk to the 1Password server without needing the app.
I still miss the 1PasswordAnywhere feature, which let me access all my passwords locally, without relying on an app.
Previously:
1Password Datacide Mac Mac App macOS 27 Golden Gate Passkeys Passwords
