Apple is hoping that a change in its business model and new product introductions will help the company turn its fortunes around.
Apple CEO Tim Cook told investors at a conference on Wednesday that Apple has about $1.2 trillion in cash and short-term investments.
The company said it’s spent $1 billion on new products this year and is targeting a $100 billion sales cycle in the next five years.
Cook said Apple has the ability to get into the smartphone business if it wants to, but it wants a bigger slice of that pie.
He said he wants to have a $10 billion revenue share from the iPhone and a $50 billion revenue-share from the iPod, but he said Apple wants more than that.
Cook also said that Apple Pay will be a priority for the company, even though the technology isn’t widely accepted.
Cook added that Apple Watch and the iPhone 7 Plus were “not yet” ready for mass adoption.
“We want to be ready for the holidays and we want to have our products on shelves at the same time as the new products,” Cook said.
“That’s what we’re going to do.”
Cook said he didn’t want to make it sound like he’s worried about Apple’s business, even as he said that the company had been working hard to make Apple Pay work.
“I’m a big believer that we have the ability in the long term to get things in place and that’s the only way we’re able to do it,” Cook told reporters.
Apple said Wednesday that it has over 4 million customers, more than 40% of whom are in the U.S. Apple said it expects to add $10 to $15 billion to its business in the coming quarters.
Cook added that the stock is up nearly 10% this year.
Apple’s stock is down more than 2% since the start of the year.
Apple’s revenue growth is slowing in the United States, with the company’s sales volume dropping by about 3% in the third quarter, compared to the previous year.
Cook said Wednesday the company has seen a decline in iPhone sales, as well as iPhone 5 sales, in the wake of the recent mass shootings.
Cook also said Apple Watch sales are down, with Apple Watch Sport sales falling more than 5%.
“We’re really just getting through the holiday season,” Cook added.
“We’re seeing that we can’t sustain that.”
Apple Watch was supposed to launch on July 21, but a limited number of Apple Watch bands and wristbands were made available for pre-order in December.