Mark Gurman from Bloomberg claims that the alleged iPhone hardware subscription is under development, and Apple has tied it to Apple One services bundle and AppleCare+ warranty plan. He predicts that the service might launch as soon as later this year.
Previously, Gurman reported that Apple was working on a new iPhone hardware subscription service to make it easier for consumers to buy the latest products in installments spread across 12 to 24 months.
iPhone hardware subscription would combine Apple One bundle and AppleCare+
The Cupertino tech giant already offers multiple financial plans for consumers to purchase new devices like the trade-in program, iPhone Upgrade Program, interest-free monthly installments for Apple Card users, and monthly installment plans offered by carriers.
However, the rumored hardware subscription for iPhone and iPad would be tied to users’ Apple ID and the monthly installment will not be determined by the cost of the product equally divided in 12 to 24 months but by the type of the product.
The program would differ from an installment program in that the monthly charge wouldn’t be the price of the device split across 12 or 24 months. Rather, it would be a yet-to-be-determined monthly fee that depends on which device the user chooses.
The company has discussed allowing users of the program to swap out their devices for new models when fresh hardware comes out. It historically releases new versions of its major devices, including the iPhone, iPad and Apple Watch, once a year.
In his latest newsletter, Gurman details that the new service will be integrated into Apple One bundle and AppleCare. Currently, both services are offered separately: AppleCare+ provides an extended warranty, and Apple One bundle offers various Apple services for a single discounted price.
Furthermore, he shared that the company did not launch the iPhone hardware subscription service at the iPhone 14 September 7 launch event to avoid complexity and it is possible for it to launch later this year or early 2023.
The company is indeed still working on a hardware subscription service that will integrate with its Apple One bundles. Apple is actively testing this new service, and i do expect it to launch either later this year or next year.