19 September 2022
Apple is rumored to be working on an iPhone hardware subscription service since the beginning of the year. It was expected to make an official announcement during the iPhone 14 launch last week but that did not happen. Mark Gurman of Bloomberg has now claimed that the service is under active testing and is still likely to release this year.
Gurman says the reason Apple did not announce iPhone hardware subscription at the event was to reduce launch day complexity. This is because it would have added a completely new way of buying a new iPhone. There is a possibility that we may see the announcement during the next event for new iPad and Mac models. While the release is expected this year, it may get postponed to early next year as well.
He adds that the iPhone hardware subscription program will be different from an installment program. This is because it will not have the iPhone's cost split over a period of 12 or 24 months. Instead, there will be a fixed monthly fee depending on what iPhone model is purchased. Apple is yet to decide on the monthly fee part.
It is believed that we may see Apple bundling the iPhone hardware subscription with Apple One and even Apple Care+. This will allow users to have everything that Apple has to offer for just a single monthly payment. The service is expected to boost Apple's revenue significantly. We should hear more details as we will get closer to the release.