According to Bloomberg, Apple is considering a subscription service for the iPhone and other Apple products.
Citing “people with knowledge of the matter,” the outlet wrote Apple is “working on a subscription service for the iPhone and other hardware products, a move that could make device ownership similar to paying a monthly app fee.”
The project is still in the works, according to Bloomberg sources. It is yet to be revealed (and thus declined to be identified).
Recurring revenue has become popular among entrepreneurs, investors, and businesses in recent years. Consumers have more flexibility to pay for things in installments; thanks to services like Klarna and Afterpay, which will soon contribute toward your credit score.
Apple offers financing through its Apple Card, and carriers such as AT&T and Verizon also provide financing options. However, according to Bloomberg, “the service would be Apple’s biggest push yet into automatically recurring sales, allowing users to subscribe to hardware for the first time.”
According to Bloomberg, people will most likely be able to subscribe using their existing Apple IDs, and it will be similar to paying for Apple Music monthly. Instead of paying the device’s full price in installments, consumers would pay a monthly cost that they could choose.
According to Bloomberg, the hardware subscription service is likely to begin at the end of 2022. But it could be delayed or canceled. They informed the newspaper that Apple’s effort to create a “buy now, pay later” option for Apple Pay took precedence.