Apple services to be the size of a Fortune 100 company by 2017

Apple App Store revenue was up 37% to an all-time high in the fiscal 2016 third quarter that ended June 25. Also, the average amount spent per customer was the highest ever measured. Apple expects its services category to be the size of a Fortune 100 company by next year, says CEO Tim Cook.

Services — Apple Music subscriptions, iTunes Music, iCloud storage plans, paid apps from Apple's App Store, and Apple Care service plans, Apple Pay, etc. — now account for 11% of Apple's overall revenue. That’s up from 8% in the year-ago period.

Speaking of Apple Pay, Apple’s mobile payment services is now live in nine markets, including six of Apple’s top 10 markets. Cook says that three of four contactless payments are now made with Apple Pay. More than 11 million contactless locations/points of sale have been tallied in all participating Apple Pay countries.