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Apple feels App Store regulatory pressure as Services revenue growth slips
During Apple's Q3 2026 earnings call, CFO Kevan Parekh said regulatory changes to the App Store business model in the US and internationally are beginning to hurt the company's Services segment, which includes Apple TV, Apple Music, AppleCare and iCloud. iPhone sales exceeded expectations, but the Services revenue slip disappointed analysts who had hoped for stronger growth. Concerns about memory prices and supply constraints also weighed on the overall outlook.
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