In a significant move that affects streaming enthusiasts, Apple has announced a price increase for its Apple TV+ streaming service. The monthly subscription fee will rise to $12.99, reflecting a 30% increase from the previous price of $9.99. This change will go into effect for new customers starting Thursday and will apply to existing subscribers 30 days after their next renewal date.
Despite the increase in monthly rates, it's important to note that the yearly subscription rate for Apple TV+ will remain unchanged at $99.99. This means that customers who prefer to pay annually can still enjoy the service at the same price, providing a cost-effective option for long-term users.
Additionally, Apple has confirmed that there will be no changes to the pricing of the Apple One bundle of services, which starts at $19.95 per month. This bundle offers subscribers access to multiple Apple services, making it a valuable option for those who utilize various Apple products.
The recent price hike is not an isolated incident. In 2023, Apple raised the monthly subscription price of Apple TV+ from $6.99 to $9.99, marking the second increase since its launch in 2019 when it debuted at just $4.99 per month. This latest adjustment marks the third time Apple has increased the subscription price for its streaming service, reflecting broader trends in the streaming industry.
According to reports from The Information, Apple is facing significant financial challenges with its streaming service, losing more than $1 billion per year. This makes Apple TV+ the only service in Apple's extensive portfolio that is currently not profitable. Despite this, the platform has garnered critical acclaim, with productions earning thousands of nominations and awards.
While Apple TV+ has achieved notable success, including a record-breaking 81 Emmy Award nominations last month, it still lags behind major competitors such as Netflix, Disney+, and Amazon Prime Video in terms of subscriber count. The popular thriller series “Severance” has emerged as a standout, leading the nominations for the year, showcasing the quality of content that Apple TV+ offers.
As the streaming market continues to evolve, the price increase of Apple TV+ reflects the ongoing challenges faced by the platform. Subscribers will need to weigh the benefits of continued access to critically acclaimed content against the new monthly cost. With its commitment to high-quality programming, Apple TV+ aims to carve out a more significant share of the competitive streaming landscape.
