Nancy Paxton

Thanks, Bill. Could we have the next question, please?

Operator

We'll hear from David Bailey with Goldman Sachs.

David Bailey - Goldman Sachs

Great, thank you very much. Just on the iPhone, would the wholesale price for the iPhone the same whether you have an exclusive agreement or whether you have multiple carriers, what are the benefits of having exclusive agreements in some of the bigger countries?

Tim Cook

Well, for Apple or for the carrier?

David Bailey - Goldman Sachs

For Apple.

Tim Cook

In an exclusive relationship, you can generally have some level of innovation that's very difficult, or would be more difficult to do with several carriers, visual voicemail was an example of that that we had in the initial iPhone, as you recall. Also, in some cases, an exclusive carrier may be willing to invest more, although, we found no lack of people wanting to sell iPhones, frankly. And so, I'm not sure whether that is true on a broad basis or not. But I think that's maybe true in some individual cases. And other than that, I would ask them, because they can probably give you a better view than I could.

David Bailey - Goldman Sachs

Okay, thank you.

Nancy Paxton

Thank you, David. Could we have the next question, please?

Operator

We'll hear from Mark Moskowitz with JPMorgan.

Mark Moskowitz - JPMorgan

Yes, thank you. Good afternoon. Two questions here. Tim, can you give us any sort of sense qualitatively that way in terms of what Apple has seen with respect to the impact of the remodeled stores, as well as the increasing penetration of the Apple retail stores internationally? I assume you see synergies with your direct and indirect sales levels because of these initiatives or is it still too early to determine?