Apple scraps plan to sell iPhones via subscription model

Apple is putting an end to its project focusing on iPhone hardware subscription services.

The project aimed to change the way people purchase Apple smartphones. The company expected to offer its devices on a subscription basis, with users paying monthly fees and getting a new smartphone yearly.

However, it's been reported that the project team has already been disbanded and given new tasks.

The new service was supposed to launch at the end of 2022 but was postponed to 2023 and scrapped in 2024.

The service was supposed to help the company increase iPhone sales and keep up recurring revenue by locking users into the Apple device ecosystem.

Users choosing the service would be billed monthly via their Apple account, which is used to download apps and subscribe to various services. The service would also allow users to change their phone to a new one each year.

The subscriptions were planned to be an in-house service, with the company providing loans.

However, the service would probably have clashed with Apple's wireless carrier partner deals and the programs that Apple already offers.

One of these programs is the iPhone Upgrade Program, which allows users to pay for the device over two years and has Citizens Bank support their loan. The company also offers users its Apple Card Monthly Installments service, which is only available in the US.

In the summer of this year, Apple also canceled one of its payment services. Apple Pay Later was a buy-now-pay-later feature that offered loans with no interest.