I'm going to lay this right out so y'all stop posting silly "I read it on the internet!" type stuff.
First of all: This particular article is talking about iOS device ONLY. Computers have always had a year to purchase Applecare to extend coverage to THREE years TOTAL. So, again: computers are different than mobile devices. Cool? Cool.
Now, let's clear this ***** up:
LIMITED WARRANTY: Every thing made by Apple (computer, iPod, lightning cable, Apple TV, etc) has a 1-year limited warranty. What this means for most is that you are covered for any NON-ACCIDENTAL thing. Keep in mind though, that if you go into an Apple store saying that your button isn't working and you have a completely shattered screen or something, you put yourself out of the limited warranty phase because duh. The limited warranty also gives you 90 days of free phone support. This is free and you don't need to do anything to get it.
APPLECARE: This extends the limited warranty to 2 years. It also extends phone support to 2 years. This does NOT include accidental damage. This would have costed $79, and you would have needed to purchase that within the first 30 days of buying your thing.
APPLECARE+: This extends the limited warranty to 2 years. It also extends phone support to 2 years. This also covers a HUGE amount if you were to destroy your phone by dropping it in water, cracking it, etc. This costs $99, and you would have needed to purchase within the first 30 days of buying your thing.
What this article is saying is that they are getting rid of Applecare for iOS Devices (which is totally not worth it anyway), and extending the availability to purchase Applecare+ to be able to purchase it within the first 60 days of your purchase instead of 30 days.
As far as prices go, I've had my 5 replaced for $49 and my friend's 5s replaced for $79. $79 was also for my iPad Air. They probably just bumped the price up for the newer models because, you know, sapphire and stuff.
What grinds my gears is that people don't realize that when they purchase a phone for $199 it's a once-every-two-years subsidized price that is controlled by their carrier (in exchange for you paying the difference over the next 2 years through your phone bill.. but that's a different story). iPhone 5S is $649 for a 16GB phone, $749 for 32GB, and $849 for 64GB.
Sorry, but I'd rather pay $179 in total for a brand new phone instead of $849. Or, hell yeah, I'd definitely pay $99 instead of $849 if I'm right before my contract gets renewed and my phone busts. And if your dumb ass thinks you deserve a free $700 phone because YOU dropped it on concrete... well, you'll need a lot more help than Applecare+ anyway.
And 30 days going by in the blink of an eye so awesome for extending that.