Would You Subscribe to Apple Intelligence? Analysts Say Some Features Could Cost Up to $20 Per Month

[Chazak]

First: Apple has not said or hinted there will be an up charge. Analysts are floating it and a very large portion of MacRumours readers don't believe anything analysts say anyway.

Second: The article is clickbait as evidenced by the volume of comments.

But, why should it be free? Are the options you select when buying a car be free? The car still does what it is supposed to without the options. You want ventilated seats? Pay for it. You want leather seats instead of vinyl? Pay for it. You want a more powerful engine? Pay for it.

I am stunned at the number of people who seem to think they are entitled to it. The righteous outrage is almost comical.

Your devices will still work as intended whether or not you opt in if they decide to charge for it.

 

[Chazak]

F. Apple!!

I must have missed the part where Apple says this is what they are going to do. Can you point me to where they said that or even hinted at it?

 

[abracadaver]

Doubtful!

 

[dampfnudel]

Big NO to an AI subscription. Get real Tim.

 

[B4U]

Nah, not with a 10 yard pole even the other way around with them paying me $20 each month. 😂

 

[npmacuser5]

Maybe missing the point. Apple AI implementation much different. An integration within Apple apps and systems. Writing a Pages Document, AI can be called upon to change the tone, advanced editing functions, intelligent sharing, delivery, etc. Obviously Siri would benefit. I do not see Apple making an app similar to what Microsoft is doing today with their copilot. The subscription part, levels of integration, levels of costs.

 

[DrRadon]

Apple "Apple Intelligence will be a on device solution we use to sell people new devices that are capable enough of using what we come up with and/or generation lock. Especially now in a time where pretty much no one needs a new device since you can even multi stream edit 8k on our machines."

Industry expert analyst "YOU MIGHT NEED TO PAY A MONTHLY FEE ON THIS, CLICK ME! PAY ATTENTION TO ME!"

WTF are they even analyzing?

 

[carrrrrlos]

As an Apple fan, I’m kinda getting tired of Apple coming up with ways they can make even more money from their customers with products that are simply 'okay'.

 

[Abazigal]

I know it goes against the whole shareholders wanting money, but just imagine if a company as large and wealthy as Apple decided to just do it for free for apple users.

But that would be far too generous

You don’t run a successful business by giving customers whatever they want (which in this case is more free stuff).

You run a successful business by creating a sufficiently differentiated product offering which customers are willing to pay a premium for (which is what Apple does using its control over hardware, software and services).

Pay or don’t pay, we will let the market vote. Generosity has nothing to do with it.

 

[42545]

I must have missed the part where Apple says this is what they are going to do. Can you point me to where they said that or even hinted at it?

Oh yes sorry. I just thought about the great disappointment I would experience if this happened. I hope this doesn't happen. I hope Apple thinks AI is an OS feature and not a new service.

 

[Thomas Davie]

No. I want Photo object removal and that’s it.

Tom

 

[sparksd]

If they do it, I will not buy it.

 

[darkpaw]

No.

I currently subscribe to the highest tier of Apple One at £36.95 because I use Fitness+. This is the only tier that includes Fitness+. If Apple add this AI nonsense to that tier and raise the price, then I'll have to revisit my current subscription. I'm not paying more for something I won't use, and it will start making me wonder whether Apple's is really the ecosystem I want to stay in.

 

[John_Blackthorne]

Hard pass. I already give ChatGPT that money. And I already have enough subscriptions.

 

[Rradcircless]

I’ll pay if it is folded into my iCloud+ subscription and Apple Intelligence comes to HomePod through Private Cloud Compute.

 

[Autumnwolf2015]

Absolutely not. Isn’t that the whole point of a smartphone, is that it’s supposed to be smart? At what point do you stop calling it a smartphone and start calling it a glorified ATM that “only” gives you what you pay for? Oh look a Payphone….heh. I’m so sick of companies trying to make every single thing a subscription service too. What are they gonna try to nickel and dime us for next? Oh trust me it can get ridiculous:

1. Battery Life Extension Subscription: Pay a monthly fee to unlock 10% more battery life. Without it, your battery mysteriously drains faster.

2. Unlock Camera Quality: Want HD photos? That’ll be $4.99 a month. Otherwise, enjoy your grainy, pixelated memories.

3. Notification Priority Pass: For $3.99 a month, you can get your notifications in real-time. Without it, they’ll be delayed by 30 minutes.

4. Typing Speed Boost: Tired of slow typing? For $2.99 a month, you can unlock faster keyboard response times.

5. Touchscreen Sensitivity Subscription: Pay $1.99 a month to make your touchscreen more responsive. Otherwise, good luck with those stubborn swipes and taps.

6. Basic Color Display: For $5.99 a month, enjoy full-color display. Without the subscription, everything is in grayscale.

7. GPS Accuracy Boost: For $3.49 a month, get accurate GPS directions. Otherwise, you might end up “near” your destination… somewhere.

8. Volume Control: Adjust your volume freely for $1.49 a month. Without it, your phone randomly selects the volume level for you.

9. Voice Recognition Upgrade: For $4.99 a month, make sure your voice assistant understands you correctly. Without it, you’re on your own with “ducking” autocorrect fails.

10. Unlock Swipe to Answer: For $0.99 a month, unlock the ability to swipe and answer calls. Without it, every call must be answered by entering a random 6-digit code.

🤦🏻‍♂️

 

[burpootus]

If AI will change my life like 5G did, why wouldn’t I want to pay extra for it?

 

[MacBH928]

The point is: if you make the customer pay for AI while competitors offer it for free (and better), it’s a losing game from the start.

who gives it for free? the ones I know are all paid with free tier Phind.com , Perplexity, Kagi, Venice.ai , Brave AI

 

[H. Flower]

Hell no

 

[AlexJaye]

I would rather pay $20/month to watch baby bees eat sweet excrement.

 

[kiranmk2]

If AI will change my life like 5G did, why wouldn’t I want to pay extra for it?

Do you pay extra for 5G? On my (UK) contract I am actually paying less now for a 5G plan than I did for a 4G plan and a 3G plan back in the day. If you account for inflation, I am paying way less for a 5G plan than I did for 3G (that also had less data allowence).

 

[wbeasley]

No way they will be able to, Samsung users will just use free Google AI tools on Android

Maybe that that's what they advertise.
So Apple isnt the only (or first) one to indicate that AI services wont always be free or full set.

 

[wbeasley]

As an Apple fan, I’m kinda getting tired of Apple coming up with ways they can make even more money from their customers with products that are simply 'okay'.

But that's business...

You dont always need a new car either. The existing one still gets you from A to B.
But they update bits, new options, colours, trims. Redesign exteriors. Improve safety (well add smarts to do more which usually results in less safety as people drive looking at their phones - but that's not the car manufacturer's fault...).

It's called consumerism.

And if an upgrade it only Okay, you arent compelled to buy it. Problem solved.

 

[wbeasley]

Do you pay extra for 5G? On my (UK) contract I am actually paying less now for a 5G plan than I did for a 4G plan and a 3G plan back in the day. If you account for inflation, I am paying way less for a 5G plan than I did for 3G (that also had less data allowence).

5G here was rolled out to only premium plans initially.
As older networks were retired, cheaper carriers (using the same network) started to include 5G over 4G or 3G.

And carrier contract prices have started going up here (in Australia) after a long period of going down.
Data included has gone up though. Win some, lose some.

 

[eifelbube]

Apple reportedly plans to turn some Apple Intelligence features into paid subscription services, and some analysts believe the company could charge users up to $20 per month for the privilege.

Last month, Bloomberg reporter Mark Gurman said that while Apple Intelligence will be free to start, Apple's long-term plan is to launch something like "Apple Intelligence+," with extra features that users pay monthly fees to access, similar to iCloud+.

Speaking to CNBC, Counterpoint Research's Neil Shah said Apple could offer the features as part of a modified Apple One subscription, and he believes an additional figure of between $10 and $20 is a realistic possibility.

"Software and services makes it more lucrative for Apple to pass it on with the Apple One subscription model," Shah told CNBC in an interview last week.

Apple One costs $19.95 a month and gives users access to various Apple services like Apple Music, Apple TV+, Apple Fitness+, additional cloud storage, and more.

"Apple is one of the few connected devices companies that has successfully monetized the value-added services it offers," Ben Wood, chief of research at CCS Insight, told CNBC.

"As a result, it has set a precedent with its users that they have to pay for more premium services. On this basis, it can't be ruled out that Apple may choose to charge for more advanced features within its Apple Intelligence offering."

Wood added that Apple Intelligence could give the company an option to launched a bundled subscription service with various services under a single price, akin to a new Apple One tier.

Apple in the June quarter saw a steep increase in services revenue at $24.2 billion, up from $21.2 billion a year ago and a new all-time revenue record. Analysts believe that making its own AI features another services revenue stream could allow Apple to compensate for the slower pace of hardware upgrades and also enable the company to pass the high cost of its investment in AI onto customers.

Apple has reportedly started building its own AI servers that use the M2 Ultra chip, and it is said to be developing its own AI server processor using TSMC's 3nm process for use as soon as 2025, which could enhance the performance of its data centers and future AI tools that rely on the cloud.

Apple is expected to spend several billion on hardware to support its artificial intelligence development in 2024, according to Apple analyst Ming-Chi Kuo. Kuo said he expects Apple to spend "at least" $620 million on servers in 2023 and $4.75 billion on servers in 2024.

Article Link: Would You Subscribe to Apple Intelligence? Analysts Say Some Features Could Cost Up to $20 Per Month

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