iPhone users might be able to rent iPhones thanks to a new project: Apple hardware subscription service. Apple is working on a hardware subscription service in which it will sell iPhones and iPads, Bloomberg’s Mark Gurman reports.
Apple is working on a hardware subscription service for iphones
Apple’s ongoing objective of converting to subscription services as a whole would be made easier with this move. Apple has been emphasizing recurring payments, such as Apple Music, Apple TV Plus, Apple News+, and Apple Fitness+ in recent years. Many of those products have already been incorporated into the company’s regular “Apple One” packages.
In 2019, Apple added a monthly subscription plan for its AppleCare extended warranties. Since 2015, Apple has offered the iPhone Upgrade Program. Both those initiatives already function in many ways as a hardware subscription.
How much Apple hardware subscription service will cost?
According to a recent Bloomberg report, Apple hardware subscription could come with a monthly cost with the option to upgrade to new hardware as it becomes available. It would be linked to a user’s existing Apple ID account, and it could include AppleCare or Apple One services too. But right now there’s no decided monthly cost.
It’s conceivable that Apple is only trimming the middleman in order to offer installment payments on additional items. Customers of the iPhone Upgrade Program sign up for an interest-free loan with Citizens One, which they pay off in monthly installments over the course of a 24-month contract.
However, the Apple Card takes it a step further by not only allowing you to use your card on any site that accepts Mastercard, but also by allowing you to make purchases with no interest charges while paying over time. This is something that will likely be utilized on an even more broad scale when Apple hardware subscription services become prevalent.
Comparison: iPhone SE 2022 vs iPhone 11
It’s clear that with Apple hardware subscription project, the company aims to expands its plans towards monthly membership services.