Apple released its Q3 FY2026 financial results today with total revenue of $109.4 billion, up 16 percent year over year. iPhone, Mac, and Services all set June-quarter records. Every geographic segment grew. This was, by Tim Cook’s own framing, one of the best quarters Apple has ever posted.

Unfortunately, iPad did not get to join the party.

iPad: 6% Revenue Decline

iPad brought in $6.19 billion for the quarter ending June 27, down from $6.58 billion in the same quarter last year. That’s about a 6% year-over-year decline, and it makes iPad the only major hardware or services category that shrank this quarter.

Boooooo.

During Apple’s Q2 2026 earnings call, Apple CFO Kevan Parekh flagged a “tough compare” coming for iPad, thanks to the release of the budget A16 iPad in the year-ago quarter. That’s exactly what happened here.

It’s not all bad news for iPad though.

As noted in the MacRumors earnings call transcript, according to Tim Cook, “More than half of customers who purchased an iPad were new to the product.” It’s always encouraging to see the pool of iPad users continue to grow. Even in the face of the MacBook Neo, which so many claimed killed the iPad.

TBH, between the MacBook Neo, the price increase, and the iPad 12 not getting released last quarter, I honestly expected the numbers to be worse.

iPhone: 22% Revenue Growth

iPhone once again did the heavy lifting, with revenue of $54.25 billion, up from $44.58 billion a year ago. That’s a 22% jump, driven by continued strong iPhone 17 demand.

Mac: 29% Revenue Growth

Mac was the real story of hardware this quarter, pulling in $10.35 billion, up sharply from $8.05 billion a year ago. Cook credited the new MacBook Neo along with continued strong MacBook Pro sales.

I imagine the price increases pulled forward some demand from those who wanted to beat the price increase.

I know Apple never breaks out a device-level revenue breakdown, but I do wonder if the existence of the MacBook Neo affected MacBook Air demand, as it was previously the lowest cost Mac notebook you could buy.

The Supply Crunch Looming Over Next Quarter

The more interesting news for iPad watchers might not even be in this quarter’s numbers. On the earnings call, Cook warned that supply constraints affecting iPad, iPhone, and Mac are expected to get meaningfully worse next quarter, driven by tighter availability of advanced chip manufacturing capacity rather than any one supplier issue.

The Bigger Picture

A 6% dip in a single product category, one that Apple itself predicted and explained in advance, isn’t something I’m going to lose sleep over. At the beginning of the year, I wrote about the three challengers the iPad would face this year from Apple, and despite the understandable sales dip, it seems to be surviving the “attack” from the MacBook Neo.

Next challenger? iPhone Fold 📱.