Apple is said to be looking into creating a hardware subscription service for the iPhone and other devices, much like paying a monthly subscription for an app
Apple is said to be looking into creating a hardware subscription service for the iPhone and other devices, much like paying a monthly subscription for an app. It would come at a time when the cost of smartphones and other electronic devices continue to rise in cost. Apple is no stranger to subscription services. It already offers monthly digital subscriptions such as Apple Music, TV+, and Fitness+. Apple Arcade is another monthly service offered by Apple. The company made an incredible $8.5 billion in profit from games in 2019, more than Nintendo, Microsoft, Sony, and Activision combined. By offering these services, Apple has been able to increase its overall revenue, and offset the times when hardware sales are at a low. So, it is no surprise that it may be looking at offering a monthly option for its hardware to its die hard fan base. Insiders told Bloomberg that Apple is developing a subscription service for the iPhone and other hardware. It could likely be similar to the iPhone upgrade program, where you pay a monthly fee rather than the up-front cost. With the upgrade program, you finance your iPhone for 24 months, with an option of upgrading every 12 months. According to insiders, the new program would differ in that it wouldn’t be the price of the device broken up into payments over 12-24 months, but rather a yet-to-be-determined monthly fee that depends on the device chosen. It would likely be more of a lease program that is attached to your Apple ID and App Store account, than a payment option where you would own the device after making a set number of payments. Being it would be tied to your Apple ID, you should be able to manage your payments and upgrades right from your device. Purportedly, Apple has been working on this for the last several months, but had to put it to the side in its effort to launch a „buy now, pay later“ service more quickly. The „buy now, pay later“ service will be for all Apple Pay transactions. The new subscription service is still thought to be launching in late 2022, but could be delayed into 2023.
