Apple is rolling out a price hike for its subscription services bundle Apple One and iCloud+ in Brazil. This increase in price has sparked discussions about the possibility of such an increase happening in other parts of the world, especially the United States. The company has not announced any changes for US customers, leaving many to wonder about the future of Apple’s subscription models.
Competitor Apple One has a much broader bundle service. It’s got a lot of other stuff bundled in too, such as Apple Music, Apple TV+, and Apple Arcade, depending on what tier you choose. The service is designed to give users a more simple experience by combining different subscriptions into one. In the United States and parts of Canada, the United Kingdom and Australia, the Premier tier further offers enrolment in Apple News+.
In Brazil, according to the developer’s complaint, Apple has increased the prices of Apple One and iCloud+ subscriptions. That’s because Apple raised the price of the Premium tier of Apple One to R$99.90, just like that. Moreover, the price of the lowest iCloud+ tier, which comes with 50GB of storage, has increased from R$4.90 to R$5.90. And if you want to store more than 2TB, take a look at the 12TB plan. Its price is up from R$299.90 to R$399.90, around $70.
Reasons Behind the Price Increases
Recent price increases in Brazil can probably be attributed to the devaluation of the Brazilian Real against the US dollar. This decline in value has been happening over the last several years. Temporary currency fluctuations have even further complicated international pricing strategies. In reaction to these economic shifts, Apple has recently announced plans to raise its subscription prices.
Furthermore, Apple has increased iCloud+ prices in Chile and Peru, suggesting a broader strategy impacting several Latin American markets. Apple does not typically make a habit of frequent price increases for subscriptions. This indicates that price increases are an anomaly to their business model.
Apple has decided, unsurprisingly, not to comment on possible price changes in the US market. In the meantime, progress is still happening on the ground in Brazil. So far, we have heard no indications of an impending increase on Apple One or iCloud+ subscription plans in the United States.
Current Offerings and Their Implications
Apple’s subscription services—spanning Apple Music, Apple TV+, Apple Arcade, and beyond—have achieved record success thanks to their adaptability and robust content libraries. Potential users have different tiers available to select from based on their specific needs. This configuration helps ensure that users can smoothly access any number of services they rely on. Apple News+ in the Premier tier increases the value for return on subscribers. It provides an all-around great media access experience, one that they won’t soon forget.
As Apple deepens its pivot to services across the world, consumers are readying themselves for higher prices. The company is responding to high regional economic pains through localized price hikes. At the same time, it prevents prices crashing in better markets, like the United States.