Apple Hardware Subscription (1 Viewer)

[Ronald Epstein]

It looks like Apple is possibly moving closer to a subscription service for iPhone ownership

Apple is working on a hardware subscription service for iPhones

The service would be Apple’s biggest push yet into automatically recurring sales.

www.aljazeera.com

Not sure if this will be a less expensive option for those of us that are part of the upgrade program and already pay a monthly fee for ownership.

I would tentatively be in favor of subscription ownership if it offered additional savings to the customer which the article seems to suggest.

 

[Dave Upton]

Interesting idea for sure. If it saves me money, i'll do it. Otherwise, it's not worth it. I'm guessing the savings will come in the form of free applecare+/iCloud etc versus cheaper hardware.

 

[DaveF]

Apple Developing Hardware Subscription Service for iPhones and Other Devices

Apple is developing a hardware subscription service that would allow customers to "subscribe" and receive an iPhone or other Apple device as...

www.macrumors.com

If it’s a subscription service that you can turn on and off at will, I think it will be at a premium compared to the current annual upgrade plan. Maybe even the equivalent of paying for the full price of the phone over 18 months plus AppleCare+ added on? Maybe it brings a discount to AppleOne?

I don’t think this will be a money saver to normal people.

 

[Sam Posten]

I think it will as actually be the upgrade program, not seperate from it

 

[dpippel]

Well, if it doesn’t save you any money, what’s the point, Apple? I’ll be keeping any eye on this.

 

[John Dirk]

Well, if it doesn’t save you any money, what’s the point, Apple? I’ll be keeping any eye on this.

At the risk of extreme sarcasm, it will save money, but most likely for Apple. OK. I'm sorry.

 

[Greg.K]

I'm still using my iPhone X, haven't had a compelling reason to upgrade yet. I guess I'm not going to do this.

 

[DaveF]

Well, if it doesn’t save you any money, what’s the point, Apple? I’ll be keeping any eye on this.

Convenience. The current upgrade plan doesn’t save money, but enthusiasts like it because it’s easy and risk free.

Apple hardware subscriptions don’t scratch my itch — my 13 pro max was four years after an 8+. But I’ve reached the point in recent years where I prefer to pay for convenience versus maximal savings where it matters to me. So, I get it.

 

[Ronald Epstein]

Well, if it doesn’t save you any money, what’s the point, Apple? I’ll be keeping any eye on this.

Right. I can't see it saving money. Apple still has to make its full profit on the device and it can't if they are giving subscription discounts to people. At least that's the way I am figuring this at the moment.

 

[John Dirk]

...But seriously, what is the difference in a plan like this vs the current carrier-subsidize offerings? I paid outright for my iPhone but my understanding is very few actually go about it this way.

 

[Scott Voth]

...But seriously, what is the difference in a plan like this vs the current carrier-subsidize offerings? I paid outright for my iPhone but my understanding is very few actually go about it this way.

I paid outright too and just use a pay as you go plan instead of a contract. I plan on keeping my iPhone 12 until it either gets buggy or 6G comes out so I will have it for a long time.

 

[ManW_TheUncool]

...But seriously, what is the difference in a plan like this vs the current carrier-subsidize offerings? I paid outright for my iPhone but my understanding is very few actually go about it this way.

Do carriers still subsidize any smartphones other than the cheapest models or maybe the increasingly rare BOGO deal (that now requires both a new line activation *and* switching to an unlimited data plan) or just offering no-interest financing? Plus they charge whatever asinine upgrade/activation fees when buying thru them.

I haven't bothered having Verizon subsidize (or provide no-interest installment plan for) any of our family's iPhones in several years because of all that -- no interest in switching to a (lower) tiered, unlimited data plan that's actually (still) rather limiting and cost more...

_Man_

 

[DaveF]

...But seriously, what is the difference in a plan like this vs the current carrier-subsidize offerings? I paid outright for my iPhone but my understanding is very few actually go about it this way.

The existing system, the annual iPhone upgrade plan, is just that. If a carrier has the same, then I guess no difference.

How is the rumored and nonexistent subscription plan different? It might be for all hardware: iPad, MacBook, Mac mini. It might allow buyer decided on and off, like a streaming service: want an iPhone 13 mini for two months? Sure. No carrier 24 month lock-in. Just two monthly payments and testing the iPhone.

Or it’s just rumors and won’t happen.

 

[John Dirk]

Do carriers still subsidize any smartphones other than the cheapest models

During my career I mostly had corporate provided phones so my experience in the real world market is extremely limited. What I probably should have asked is "what is the difference in a plan like this vs the current contractual pay-as-you-go carrier plans."

@DaveF 's explanation clarifies that for me but, as he alluded, I doubt it would ever happen as I see no advantage in it for Apple.

 

[Ronald Epstein]

CNET's take...

Why Apple Should Launch an iPhone Subscription Program

Commentary: Tech has an e-waste problem. This could help.

www.cnet.com

 

[Scott Merryfield]

Do carriers still subsidize any smartphones other than the cheapest models or maybe the increasingly rare BOGO deal (that now requires both a new line activation *and* switching to an unlimited data plan) or just offering no-interest financing? Plus they charge whatever asinine upgrade/activation fees when buying thru them.

Between the trade-in for our old phones and a deal on a 24-month payment plan for the new phones, our two Samsung Galaxy Flip 3 phones came to about $400 per phone through T-Mobile. The retail price was $1,000 each. I think they offer deals on iPhone, too (I don't pay too much attention to pricing on them, though}.

 

[DaveF]

“Apple (AAPL) Working on Subscription Service for iPhones, Hardware - Bloomberg”

https://www.bloomberg.com/news/arti...n-a-hardware-subscription-service-for-iphones

The idea is to make the process of buying an iPhone or iPad on par with paying for iCloud storage or an Apple Music subscription each month. Apple is planning to let customers subscribe to hardware with the same Apple ID and App Store account they use to buy apps and subscribe to services today.

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.

 

[Sam Posten]

Holy shit f cnet and their unblockable popups

 

[DaveF]

Holy shit f cnet and their unblockable popups

None on iPhone / iPad with adblocker.

 

[ManW_TheUncool]

I imagine a subscription hardware service could make sense for those who frequently upgrade (like annually whenever a new model/line comes out), but most likely not for someone like me since I generally only (feel the need to) upgrade my phone after 4-5 years, especially as improvements to phones have essentially plateaued (and I could just get the battery refreshed at a very modest cost) -- I would likely still be sticking w/ my old iPhone 11 for another couple years or so if my youngest didn't actually need a (relatively inexpensive) phone replacement/upgrade going into her 1st year of high school...

And I upgrade to a new computer (build) even less frequently than that (and only last did that just ~2 years ago) and don't foresee that changing at all...

_Man_