Apple Braces for $20B Revenue Hit—Wall Street Sharks Start Circling

Cupertino’s cash cow stumbles as supply chain woes and softening demand threaten its golden quarter.

The Bleeding Starts Here

Analysts slash targets after internal projections reveal iPhone sales could miss by 8 million units—thanks to that ’courageous’ decision to ditch charging ports.

Funny How ’Ecosystem Lock-In’ Works Both Ways

Services revenue growth slows to single digits as regulators finally crack down on App Store monopoly tactics. Tim Cook’s ’arbitrage heaven’ faces reality.

Meanwhile, hedge funds quietly load up on puts while retail investors keep buying the dip—because what could go wrong with a 35x PE ratio?

Apple Faces Losing $20B in Revenue: Could the Stock Crash?

The US stock market rebounded in a big way this week. Indeed, with geopolitical tension easing and trade deals imminent, there is a bullish sentiment beginning to arrive. Throughout the week so far, the S&P 500 gained so much that it was able to erase 2025 losses driven by an increasingly volatile year.

That has greatly benefited some of the top tech stocks on Wall Street. However, it may not be enough to save one mega-cap company. Specifically, Apple (AAPL) may be set to lose $20 billion in revenue in a MOVE that could hinder the stock. Indeed, it could be enough to constitute a textbook definition of a crash.

In 2022, Alphabet paid Apple $20 billion to allow Google to be the default browser on all of its products. The payment is not subject to public information, but it stands as all revenue for the company. Specifically, those funds go straight toward Apple’s bottom line. That is likely why executives are so fearful that they could lose it.

Eddy Cue had recently testified in the ongoing Alphabet monopoly case. Subsequently, as you can imagine, the $20 billion came up. During the testimony, Cue noted that he believes AI-powered search will likely replace traditional Google-type engines. Therefore, the prospect of paying its part of the deal may not make sense for Alphabet anymore.

So, that WOULD lead those funds to simply disappear from the balance sheet. Over the past three years, Apple’s 12-month net income has been around $100 billion. If it were to subtract the money from the deal, that would drop around 20%. Subsequently, that drop would lead to a massive ‘crash’ call that could drive the stock to plummet.