Apple is stepping up its AI investments and also reallocating employees as it tries to catch up with rivals such as Google, OpenAI, and Microsoft amid growing competition.

The company also has been staging a comeback in China, a market where local phone brands have made inroads with consumers. Services were another bright spot, topping Wall Street projections.

Apple’s revenue grew by 10%, driven by a 13% increase in iPhone sales, making it the largest quarter for revenue growth since December 2021.

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