You may have observed that many companies have transitioned to a subscription model for their products and services in recent years, and Apple is also following this trend. As Apple devices improve and customers keep them for longer periods, Apple is earning less from hardware purchases. This has led Apple to expand its services, offering subscriptions for cloud storage, media, productivity tools, AppleCare, and now Creator Studio. This shift indicates a move towards turning traditional one-time purchases into subscription services, a trend worth monitoring closely. To understand the extent of Apple’s focus on subscriptions, let’s explore the range of services the company currently provides.
Watch our video essay below discussing the state of Apple products, their services revenue, and the implications for the future.
Apple’s Current Subscription Lineup
Apple now offers a variety of subscription services, starting with iCloud storage.
iCloud+
Apple offers 5GB of free cloud storage with each account, but this limit can quickly be exceeded, prompting users to upgrade to paid tiers. Paid iCloud storage, known as iCloud+, includes features like Private Relay, Hide My Email, and HomeKit Secure Video storage. The pricing for various plans is as follows:
- 50GB for $0.99
- 200GB for $2.99
- 2TB for $9.99
- 6TB for $29.99
- 12TB for $59.99
Apple also offers a range of media streaming services, such as Apple Music, Apple TV, and more.
For individual subscriptions, the pricing is as follows:
- Apple One Individual for $19.95 per month
- Apple One Family for $25.95 per month
- Apple One Premier for $37.95 per month
Apple also introduced AppleCare One subscription, allowing users to bundle and save on AppleCare for up to three eligible Apple devices.
Creator Studio
Creator Studio marks Apple’s venture into professional software tools as a service. Priced at $12.99 per month or $129 per year, Creator Studio includes apps like Final Cut Pro, Logic Pro, Pixelmator Pro, and more. While some free apps remain available, exclusive AI-powered features are accessible only through the Creator Studio subscription.
Subscription Exclusive Features
While Apple’s subscription services offer great value, the introduction of subscription-exclusive features raises concerns about the potential shift towards charging for previously free functionalities. This model introduces a scenario where core apps remain free, but advanced features are tied to subscriptions, hinting at a possible trend in the future.
Final Take
Overall, Apple’s subscription services provide value, especially for users who utilize multiple services and share them with family members. However, the emergence of subscription-exclusive features raises questions about the future direction of Apple’s pricing strategies. It remains to be seen how this model will evolve and whether it will impact users’ experience.
