Apple is reportedly planning an iPhone hardware subscription service

iPhones and other Apple devices have become increasingly expensive, and the company may be using alternative sales models to help soften the blow. Bloomberg sources they claim that Apple is developing a subscription service for the iPhone and other hardware. Similar to the iPhone upgrade program, you would pay a monthly fee instead of an upfront cost or financed installments. You would “probably” manage the subscription through your Apple account.

Full details of what would be included weren’t available at the time of this writing, but the service would include regular updates and launch in late 2022 or early 2023. Pricing is also unknown. Apple’s current upgrade program currently requires $35 or more per month for annual iPhone upgrades and ongoing AppleCare+ coverage.

Apple has already declined to comment. The company hasn’t been shy about moving into subscriptions, mind you. Digital services like Apple Music, TV+ and Fitness+ have accounted for a fast-growing slice of the company’s revenue and have helped smooth out the ups and downs of seasonal sales cycles as well as a relatively stagnant phone market. A broader hardware subscription offering would extend this strategy: Apple could expect a more consistent revenue stream, particularly from customers who might otherwise wait longer to replace their devices.

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