'Apple Prime' subscription bundle needed to maintain Services growth: analyst

'Apple Prime' subscription bundle needed to maintain Services growth: analyst
The Apple iPhone X

As reported earlier today, around one-fifth of Apple’s Services revenue came from Google last year but analysts over at Goldman Sachs believe this large share of revenue will soon start to decrease.

In order to maintain “mid to high double-digit growth,” the analysts believe Apple needs to launch some sort of ‘Apple Prime’ subscription. In fact, the expectation is that such a service will be launched later this spring or throughout the summer period. If it does not, the business's growth could slow drastically.

Much like Amazon Prime, the ‘Apple Prime’ subscription is expected to bundle together most of Apple’s services at a slightly lower cost, thus making it worthwhile to consumers. At the moment, the most obvious inclusion other than Apple Music is the company’s upcoming video streaming service. The Cupertino giant has stayed rather quiet on the status of the latter but recent reports did point towards a launch in April.

In addition to this, Apple is rumored to be preparing a news subscription. This isn’t expected to arrive until later this year but could eventually be included in the bundle too.
There’s also a possibility Apple will launch some kind of podcast subscription in the future, although there's little information on the matter at the moment.

Apple itself did recently tease some new health-related services too. These, however, probably won’t be bundled in with the ‘Apple Prime’ subscription plan if launched. After all, the subscription is expected to focus primarily on media content.

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7 Comments

1. LEEDAQ

Posts: 164; Member since: Aug 07, 2018

I don't mind paying extra for future security update for my iphone 6s

2. Vokilam

Posts: 1151; Member since: Mar 15, 2018

I hate subscription services. But Apple was smart about launching services few years back - now that we know the phone (android and Apple) sales are stagnating world wide.

3. Leo_MC

Posts: 6935; Member since: Dec 02, 2011

Just extend AppleCare and throw in the Music for free and I might pay Apple what I pay my insurer; otherwise, there's absolutely no reason for me to waste my hard earned money on paying for habbits that will make me lazy and dumb.

4. Chinda3

Posts: 31; Member since: Mar 14, 2014

Leo_MC so you want Apple to extend AppleCare at no extra cost plus throw in Apple Music for free! I'm sure lot's of people want something for nothing but life doesn't work that way :D

5. sgodsell

Posts: 7035; Member since: Mar 16, 2013

Have you see the price of Apple's extortion insurance? Sorry Apple Care prices. Then if something goes wrong with your device, you still have to pay a fee. If you didn't pay for Apple Care, then if something minor goes wrong with your iPhone, then Apple charges you a ridiculous service charge. At those prices Apple can afford to give you a lot more.

7. Leo_MC

Posts: 6935; Member since: Dec 02, 2011

AC is the cheapest. Cheaper than Samsung’s version and cheaper that the classical insurance.

6. Leo_MC

Posts: 6935; Member since: Dec 02, 2011

I must have not been clear: I want Apple to extend AC all over the world (today is only available in countries with Apple Stores).

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