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Apple as a service

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Most businesses (maybe including yours) are striving to offer at least some services on a subscription basis.

Apple is no exception and has grown an $86 billion services business since roughly 2015. Now, it appears the company may have a hardware-driven plan to extend that.

Apple has reportedly begun work on a more extensive ‘Apple as a service’ offer in which users can purchase its products for a monthly fee. (Apple has already quietly commenced offering equipment leasing to business via a trusted partner.)

While nothing has been announced, reporting suggests the option may be introduced late this year or in 2023. There are challenges, but the benefits in terms of incremental income — particularly in a business environment characterized by growing risk — make sense for any company, not just trillion-dollar consumer electronics firms.

“Migrating to a consumption-based licensing structure can be risky operationally and financially,” said Dave Egloff, vice president analyst at Gartner. “But buyers and suppliers increasingly prefer subscriptions.”

Original post from IT News

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