According to Bloomberg, Apple is getting ready to launch subscription bundles alongside its iPhone 12 lineup this October. The series of subscription bundles will comprise of various digital services from Apple.
Bloomberg’s sources have specifically mentioned services like Apple Music, Apple TV+, Apple Arcade, Apple News+, and iCloud for the bundled-subscriptions. The report also indicates that these bundles go by the name “Apple One” inside the Cupertino.
While Apple Music and iCloud are popular digital services, Apple TV+, Apple News+, and Apple Arcade have not hit the ground running like Apple hoped. Apple One would be a bid to change that pattern. Through subscription bundles, Apple can sell more services for cheaper, along with the ones customers already love.
Apple One will be a series of subscription bundles with various tiers expected.
- The base tier will bundle Apple Music and Apple TV+.
- A more expensive tier will bundle the two mentioned above with Apple Arcade.
- The next tier will add Apple News+ to the mix and,
- The high-end bundle will bundle all of Apple’s popular services with iCloud storage.
As per the report, the California based tech giant is also developing a fitness app. The service, codenamed ‘Seymour,’ will be similar to services provided by Peloton and Nike. A higher-end subscription bundle will include this virtual fitness class service.
Expectations are ‘Apple One’ bundles will support Apple’s Family Sharing, where up to six people can get access from the same subscriptions. Both Apple and customers will benefit from these family plans. Apple gets more exposure to its less popular services while customers get them at shared cheaper rates.
There is no indication about what the Apple One bundles will cost. Additionally, the plans and structure of the bundles may as well change when they release. Expectations are that they will help customers save $2-5 per month. For example, all of Apple’s major services and the highest iCloud storage cost a sweet $45 a month. An equivalent Apple One bundle could cut $5 or more off that sum.
Also, one should note that Apple One is not the final name for these subscription bundles. The name for the subscription bundles will reveal alongside iPhone 12 and iOS 14. While ‘Apple One’ could be the final name, it is unlikely. There is already a ‘Google One’ storage service offered by Apple’s known competitors, Google.
Apple One will mimic the popular subscription bundle model of Amazon Prime. Prime, which combines free shipping with many of Amazon’s services, has been hugely successful for the eCommerce giant. The monthly or annual subscription model is an excellent value for their money for many customers.
If Apple can increase the consumption of its digital services through a subscription model, it could add more revenue to its trillion-dollar business. Apple’s services are already one of the company’s fastest-growing areas. Their service’s earnings last quarter at $13.1 billion also helped them become the world’s most valuable company.