AppleCare+ is moving to subscriptions and away from fixed plans
By ForGeeks Apple has decided to ditch AppleCare+ fixed plans entirely in favor of subscription plans, according to Mark Gurman in a recent report. This change is already starting to be implemented.
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What’s going to change?”
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The third quarter of 2024 is a pivotal time for Apple’s protection program. Retail partners no longer offer AppleCare+ prepaid plans, and they remain available only on Apple’s official website, but they’re expected to disappear there soon as well.
AppleCare+ plans are no longer available on Apple’s official website.
What are AppleCare and AppleCare+?
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- AppleCare includes one year limited warranty and 90 days of free technical support. It covers hardware defects and screen issues such as dead pixels, but does not cover damage from drops.
- AppleCare+ protects against accidental damage and also offers 24/7 support. Additional protection against theft and loss of the device is also available.
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Which devices are covered?
AppleCare+ covers the following devices:
- iPhone
- iPad
- Mac
- Apple Watch
- Apple Vision Pro
- Apple Displays
Accessories such as AirTag, Apple Pencil, keyboards and mice remain unprotected.
New subscription model and cost
Subscription with unlimited validity was introduced back in 2021. For example, for the iPhone 16 Pro and iPhone 16 Pro Max, the subscription cost is $13.99 per month (including theft and loss protection) or $139.99 for a year.
The new subscription model is $13.99 per month (including theft and loss protection) or $139.99 for a year.
Why is Apple abandoning fixed plans?”
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Fixed coverage is more favorable for consumers in the long run. However, for the company, subscriptions generate more revenue and allow for flexible pricing as needed.
The move to subscriptions underscores Apple’s strategy to create a sustainable revenue stream and to engage more closely with customers through services.
