Apple TV+ price set to rise to 12.99 per month as Apple follows Peacock’s lead
Apple said its ad‑free streaming service Apple TV+ will increase by three dollars to 12.99 per month for new subscribers in the United States and selected international markets, with the change taking effect on Thursday. The annual subscription price and the Apple One bundle—combining Apple TV+, iCloud, Apple Music and other services—remain unchanged.
Apple TV+ has become known for shows like the psychological thriller Severance, which garnered 27 Emmy nominations this year, along with fan favorites Ted Lasso and The Morning Show. Despite praise for its originals, Apple TV+ has lagged behind rivals in total subscribers, with Netflix, Disney+, and Amazon Prime Video boasting much larger audiences.
Estimates put Apple TV+ subscribers at about 40.4 million globally by the end of 2024, according to five analysts polled by Visible Alpha, while Netflix reportedly had more than 300 million paid memberships at that time. Apple last raised the Apple TV+ price by 3 dollars in October 2023. NBCUniversal’s Peacock also moved earlier this year to raise prices by 3 dollars, underscoring a broader trend of higher streaming costs.
Apple has faced questions about profitability for Apple TV+. The Information reported in March that the service is losing more than 1 billion dollars a year, with content spending exceeding 5 billion dollars annually since launch in 2019, though Apple trimmed that figure by roughly 500 million dollars last year.
Context and outlook
– Severance’s Emmy success helps highlight the strength of Apple TV+’s original slate even as the service grows its subscriber base more slowly than some competitors.
– The price increase aligns Apple with a wave of streaming platforms adjusting pricing to reflect investment in content and broader operating costs.
– Despite lean subscriber numbers relative to giants like Netflix, Apple’s ongoing spending on high-profile originals signals a longer-term push to compete on quality and awards visibility while maintaining a lower-cost annual option and bundled offerings.
Additional notes
– The move follows a similar pricing decision by Peacock, which raised both its ad-supported and premium plans by 3 dollars in July.
– Apple’s pricing strategy continues to balance keeping bundles attractive with monetizing content investments, a dynamic watched closely by investors and media analysts.
Summary
Apple TV+ is increasing its monthly price to 12.99 for new US and select international subscribers, while keeping annual pricing and bundles steady. The shift comes as Apple doubles down on content investments despite ongoing subscriber growth challenges, a strategy that has yielded award-winning originals like Severance and sets the stage for further expansion of Apple’s streaming ambitions. A cautiously hopeful takeaway is that price adjustments could fund stronger future programming and a more robust overall service experience for subscribers.
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