Apple Will Lean More on Subscriptions as iPhone Sales Drop

Photographer: Anthony Kwan/Bloomberg
Lock
This article is for subscribers only.

After reporting its toughest quarter since 2001 on slowing smartphone sales, Apple Inc. is eyeing services like Apple Pay and music that come on its gadgets to help drive growth: The company aims to increase the number of subscriptions to half a billion by 2020, from 360 million now.

Apple shares rose 5.5 percent in extended trading on Tuesday.