AI

Apple May Introduce Subscription Model for Advanced AI Features

01 July 2024

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Paikan Begzad

Summary

Apple's advanced AI capabilities, known as Apple Intelligence, may not remain free for long. According to Bloomberg's Mark Gurman, the tech giant could launch a subscription-based service called "Apple Intelligence+" in the future to monetize these features.

Gurman, known for his accurate insights on Apple, suggests that while Apple Intelligence will start as a free service, the company might transition to a subscription model over time. This approach would be similar to Apple's strategy with iCloud, where basic features are free, but advanced functionalities require a monthly fee. This potential shift highlights Apple's intent to diversify its revenue streams and reduce reliance on hardware sales by generating consistent income from AI services.

Currently, Apple has announced that Apple Intelligence will be available exclusively on the iPhone 15 Pro and iPhone 15 Pro Max. Although the upcoming iPhone 16 series is expected to include these AI features, no official confirmation has been made.

Additionally, Gurman reports that the iPhone 16 lineup is not expected to have significant hardware changes, indicating a strategic shift towards enhancing software and services. Apple's AI innovations could serve as a key differentiator in the competitive smartphone market. The 2024 iPhones are anticipated to launch in September, following the company's usual release schedule.