Apple Raises Prices for Apple TV and Apple One in the U.S.
Apple Inc. (NASDAQ:AAPL) has increased the price of its Apple TV service to $14.99 per month from $12.99, while also raising the cost of individual Apple One bundles to $21.95 a month from $19.95 in the U.S., according to CNBC. The move follows a recent $1-a-month increase for Apple Music and reflects ongoing efforts by Apple to adjust pricing amid rising licensing costs. Apple's services segment reported revenue of $30.7 billion during its fiscal third quarter, marking a 12% year-over-year growth. However, the gross margin in this segment fell more than one percentage point sequentially due to product mix and foreign exchange challenges. The price hikes are part of broader industry trends as major streaming platforms like Netflix, Hulu, Disney+, and Peacock have also raised their prices recently. While Apple argues that its content library has expanded significantly since the 2019 launch—adding original programming such as 'Severance' and films like 'F1'—some analysts remain cautious. Concerns include potential subscriber churn due to repeated price increases, especially given Apple TV's smaller catalog compared to competitors.
Topics: Apple TV pricing increase services revenue subscription services