Apple is considering a subscription model for its upcoming Apple Intelligence AI system. According to a CNBC report, the company may charge users up to $20 per month for access to advanced AI features. This potential revenue stream aligns with Apple’s strategy of expanding its lucrative services business. However, it sounds surprising given Apple has traditionally included Intelligence as a key part of its ecosystem
Announced in June, Apple Intelligence promises to enhance Siri and introduce capabilities like automated email, advanced writing assistants, and Genmoji- a tool for creating personalised avatars. As per the report, Apple’s decision to charge for premium AI features is driven by the significant investment required for AI development. By introducing a subscription model, Apple can recoup costs while generating additional revenue. Analysts suggest that the company could integrate AI features into its existing Apple One subscription bundle, which currently costs $19.95 per month.
The price speculation comes amidst ongoing rumours that Apple might introduce a paywall for some of its Apple Intelligence AI features. While it’s not clear which features might require a subscription, there are talks that advanced tools like enhanced writing options or Genmoji creation could go behind the paywall.
According to Gurman, Apple is facing slower hardware upgrades and is focusing more on growing revenue through services and subscriptions. The company sees potential in monetising its AI features and other software, aiming to turn them into paid services over time. Initially, Apple Intelligence might be free, but the company could eventually offer a subscription service like “Apple Intelligence+” with additional features, similar to its iCloud model. Top of Form
Apple is expected to integrate its AI powers in the upcoming iPhone series. There are whispers that company also plans to bring it to the Vision Pro headsets but that may not be happening this year. According to Bloomberg’s Mark Gurman, Apple Intelligence won’t come to the mixed reality device until 2025.
