After steadily raising the market prices of hardware such as the Mac and iPad throughout June this year, Apple has now turned its attention to its software services. Consequently, the company has formally announced a price increase for the Apple TV+ streaming service and Apple One subscription bundles in the US market. In doing so, Apple aims to offset its mounting content production expenditure and rising operational costs.
When the New Rates Take Effect
The revised pricing applies immediately to new subscribers. Meanwhile, existing subscribers will receive an official notice roughly one month before the change reaches their accounts. Therefore, current customers have a brief window before the higher charges arrive.
A Breakdown of the Price Changes
Apple has adjusted three plans in total. Here are the specific details of the increase:
- Apple TV+ monthly plan: Rising from $13 to $15 per month.
- Apple TV+ annual plan: Climbing by $20, reaching a total of $120 per year.
- Apple One Individual plan: The individual bundle that includes Apple TV+ moves from $20 to $22 per month. Notably, the other, more advanced Apple One tiers remain unaffected for now.
For the moment, Apple is chiefly adjusting Apple TV+ and Apple One prices in the US. However, the company is widely expected to extend these hikes to more countries and regions in the near future.
The Fourth Hike Since 2019
Remarkably, this marks the fourth price increase for Apple TV+ since its debut in 2019. When the service first launched, it cost merely $4.99 per month. As a result, today’s monthly rate now stands at roughly triple that original figure.
A Wider Wave of Streaming Increases
In reality, this pricing surge has already swept across the entire streaming industry. Facing a fierce content arms race, rivals including Netflix, Disney+, Amazon Prime Video, and YouTube Premium have all lifted their subscription fees this year. Furthermore, the sports streamer ESPN is expected to follow suit with its own increase next month.
What This Means for Consumers
Apple still maintains its tradition of granting three months of complimentary Apple TV+ access with the purchase of a new device, such as an iPhone, iPad, or Mac. Nevertheless, this perk may struggle to fully offset the increasingly steep cost of staying inside the Apple ecosystem.
Notably, the market broadly anticipates that Apple will center its upcoming September autumn event on the premium iPhone 18 Pro series. Consequently, the firm may once again raise its device prices. Meanwhile, the standard iPhone 18 is rumored to slip to a spring launch next year.
A Test for Apple’s Services Revenue
As both hardware devices and software services face rising prices together, Apple confronts a genuine challenge. Specifically, the company must ensure consumers remain willing to keep paying when flagship series such as Severance return. Ultimately, that willingness will prove a decisive test for the growth of Apple’s services revenue in the months ahead.
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