Apple could upend the status quo by bundling hardware into its services subscriptions - Business Insider

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If Apple moves forward with hardware-services subscriptions, it could spark similar programs from competitors:

"We look at each service, and decide what's best to do for it … I wouldn't want to rule out for the future that we might not see another opportunity at some point in time. In terms of hardware as a service or as a bundle, if you will, there are customers today that essentially view the hardware like that because they are on upgrade plans and so forth.

So while no sweeping changes to its core business seem imminent, Apple is leaving the door open to offering customers a bundle of always-upgraded hardware — ranging from phones to tablets and even potentially smart speakers or smart home devices — and services like Apple Music, Apple TV Plus, and iCloud.

Should Apple move forward with hardware-services subscriptions, it could spark a rash of similar programs from competitors like Samsung and Google.

Tech giants have been looking to create all-encompassing ecosystems that take their core services beyond the phone, and using subscriptions to get smartphone users to adopt additional hardware as well as services could give companies a means to accomplish this and grow consistent revenue streams.Connectivity & Tech Pro

, Business Insider Intelligence's expert product suite keeping you up-to-date on the people, technologies, trends, and companies shaping the future of connectivity, delivered to your inbox 6x a week. >>

 

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