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Paving the Way for Apple-as-a-Service

An emerging business model that has proven to be quite profitable for some industries and companies, the as-a-service model is seen in everything from infrastructure to quality assurance. Platform-as-a-service (PaaS), software-as-a-service (SaaS), and even electric vehicle-as-a-service (EVaaS) are all packages that are offered by one provider or another, and these as-a-service models are only expected to expand in coming years.

One of the most recent examples of this is Apple-as-a-service, or AaaS. Although it hasn’t officially been unveiled as of yet, a spokesperson with the tech giant has confirmed their plans to implement an Apple device rental service. While they already have an iPhone upgrade plan available for users who want to get their hands on the newest iPhones whenever they’re released, they have yet to offer a fully fledged rental service – until now.

While they’re Apple-as-a-service plan was originally slated to be available in 2022, it’s now expected to be unveiled alongside the launch of iOS 16.4 in 2023. Regardless, the new payment model is sure to turn some heads – for better or worse.

Dave Egloff, vice president analyst with Gartner, was recently quoted as saying: “Migrating to a consumption-based licensing structure can be risky operationally and financially. But buyers and suppliers increasingly prefer subscriptions.”

Why Now?

According to some studies, most Apple customers already spend nearly $300 annually on hardware and additional $69 for subscription services. This amounts to approximately $1 per day for every user on their platform – and there are a lot of users.

However, given the popularity of other as-a-service models, Apple could likely rake in a lot more with their Apple-as-a-service subscription plan. Not only can they capitalize on individual consumers who are willing to pay a monthly or annual fee, but they can capitalize on businesses and enterprises, too. Not only would this make it easier for the average consumer to get their hands on the latest Apple devices, but it gives business leaders the opportunity to offer such hardware to their employees.

The specific details have yet to be announced, and they probably haven’t even been completely finalized as of yet. Moreover, the service will likely change and evolve after it’s introduced. Once they get a better feel for the overall demand, they’ll likely modify the Apple-as-a-service offering as they see fit.

Other Financial Services

Apple-as-a-service isn’t the only new business model that Apple has in mind. They’ve already announced a “Buy Now Pay Later” plan, although they have yet to unveil the specifics, and they’ve been teasing the Apple Cash savings account for quite some time. Developers with Apple have also announced the “Apple Pay Monthly Installments” plan, but, as of the time of this writing, they have yet to unveil any new payment options.

The Future of Computing and Paid Subscription Models

Some experts believe that this is just a sign of more as-a-service models to come, and it could be. If Apple-as-a-service turns out to be a boon for their company, we’ll likely see other IT companies embracing similar business models.


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