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Table of Contents
Americas
During 2010, net sales in the Americas segment increased $5.5 billion or 29% compared to 2009. This increase in net sales was driven by
increased iPhone revenue, strong demand for iPad, continued demand for Mac desktop and portable systems, and higher sales of third-
party
digital content and applications from the iTunes Store. Americas Mac net sales and unit sales increased 18% and 21%, respectively, during 2010
compared to 2009, largely due to strong demand for MacBook Pro. The Americas segment represented 37% and 44% of the Company’
s total net
sales in 2010 and 2009, respectively.
During 2009, net sales in the Americas segment increased $2.4 billion or 15% compared to 2008. The increase in net sales during 2009 was
attributable to the significant year-over-year increase in iPhone revenue, higher sales of third-
party digital content and applications from the
iTunes Store, and increased sales of Mac portable systems, partially offset by a decrease in sales of Mac desktop systems and iPods. Americas
Mac net sales decreased 6% due primarily to lower average selling prices, while Mac unit sales increased by 4% on a year-over-
year basis. The
increase in Mac unit sales was due primarily to strong demand for the MacBook Pro. The Americas segment represented approximately 44% of
the Company’s total net sales in both 2009 and 2008.
Europe
During 2010, net sales in Europe increased $6.9 billion or 58% compared to 2009. The growth in net sales was due mainly to a significant
increase in iPhone revenue attributable to continued growth from existing carriers and country and carrier expansion, increased sales of Mac
desktop and portable systems and strong demand for iPad, partially offset by a stronger U.S. dollar. Europe Mac net sales and unit sales
increased 32% and 36%, respectively, during the year due to strong demand for MacBook Pro and iMac. The Europe segment represented 29%
and 28% of the Company’s total net sales in 2010 and 2009, respectively.
During 2009, net sales in Europe increased $2.6 billion or 28% compared to 2008. The increase in net sales was due mainly to increased iPhone
revenue and strong sales of Mac portable systems, offset partially by lower net sales of Mac desktop systems, iPods, and a stronger U.S. dollar.
Mac unit sales increased 13% in 2009 compared to 2008, which was driven primarily by increased sales of Mac portable systems, particularly
MacBook Pro, while total Mac net sales declined as a result of lower average selling prices across all Mac products. iPod net sales decreased
year
-over-
year as a result of lower average selling prices, partially offset by increased unit sales of the higher priced iPod touch. The Europe
segment represented 28% and 25% of total net sales in 2009 and 2008, respectively.
Japan
During 2010, Japan’s net sales increased $1.7 billion or 75% compared to 2009. The primary contributors to this growth were significant year-
over-
year increases in iPhone revenue, strong demand for iPad, and to a lesser extent strength in the Japanese Yen. Mac net sales increased by
8% driven by a 22% increase in unit sales due primarily to strong demand for MacBook Pro and iMac, partially offset by lower average selling
prices in Japan on a year-over-year basis. The Japan segment represented 6% and 5% of the Company’
s total net sales for 2010 and 2009,
respectively.
Japan’
s net sales increased $551 million or 32% in 2009 compared to 2008. The primary contributors to this growth were increased iPhone
revenue, stronger demand for certain Mac portable systems and iPods, and strength in the Japanese Yen, partially offset by decreased sales of
Mac desktop systems. Net sales and unit sales of Mac portable systems increased during 2009 compared to 2008, driven primarily by stronger
demand for MacBook Pro. Net sales and unit sales of iPods increased during 2009 compared to 2008, driven by strong demand for iPod touch
and iPod nano. The Japan segment represented approximately 5% of the Company’s total net sales in both 2009 and 2008.
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