According to Bloomberg, Apple plans to sell its next iPhone and iPad as a subscription. A strategy that would make them more affordable, but also generate regular income.
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What if Apple was inspired by manufacturers automobiles to sell iPhones? It is more than possible since Bloomberg reports that the firm plans to sell its next models in the form of subscription! Of course, this can be compared to leasingsince the idea is that the possessor of theiPhone returns it to Apple at the end of its subscription. Exactly as when it comes to a car in LLD (long rental duration).
For Apple, it’s mostly about copying the success of its subscription services, like iCloud or Apple Music, and thus create a subscription service linked to its most popular devices, such as the iPhone and theiPad. It would be a mini-revolution at Apple, and it would allow it to target the lowest incomes since instead of paying 1,000 euros to afford the latest iPhone, we imagine that the company will offer a monthly subscription of a few euros. Probably a few tens of euros for the most expensive devices, and ideally, everything would be integrated into your Apple subscription, in the middle of the other services to which you subscribe.
Competition for operators
On paper, Apple’s strategy is threefold. First, it’s about generating more regular income from these subscriptions. Then, products like iPhones, which are often very expensive, would become more affordable, and this would make it possible to compete directly with Android, whose smartphones are often less expensive. At the same time, if iPhones become more affordable, Apple fans may focus on other products, such as MacBook.
In France, Free has launched an equivalent service, FreeFlex. It allows to spread the payment of his mobile over 24 months, and after the last due date, either the user keeps the smartphone, or he returns it to have a new new smartphone. Mobile phone operators like SFR, Bouygues or Orange have always offered to “pay” for the latest iPhone for a monthly subscription, except that it is linked to a package.
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