Apple raises U.S. prices for TV and Apple One

Apple has raised the U.S. prices of its streaming service Apple TV and its Apple One bundle, marking another increase across its subscription business. The move adds pressure to a lineup that has become a larger part of the company’s revenue base.

Apple TV now costs more

The monthly price of Apple TV rose to $14.99 from $12.99, while the annual plan increased to $119 from $99. Apple One, which combines Apple TV with services such as iCloud storage and Apple Music, now costs $21.95 for an individual plan, up from $19.95.

When Apple first launched the service in 2019 under the Apple TV+ name, it was priced at $4.99 a month, below most competing platforms. Since then, the service has expanded its library with higher-profile programming, including the film F1 and the series Ted Lasso, which returned for a fourth season earlier this month.

Broader subscription push

The latest changes come after Apple lifted Apple Music prices by $1 a month in July, saying licensing costs were behind that move. The company has been using services more aggressively as a growth engine alongside hardware, and the repeated price changes suggest it is leaning harder on that segment.

Apple said services revenue reached $30.7 billion in its third quarter, up 12% from a year earlier. Gross margin in the unit fell by a little more than 1 percentage point sequentially, which Apple attributed to a different product mix and foreign-exchange pressure.

The price increase also narrows the gap between Apple TV and rival streaming services. That matters because streaming subscriptions have become more crowded and price-sensitive, and Apple is now asking customers to pay closer to market levels for a product that was once positioned as a low-cost alternative.

The services division has also been highlighted internally as a key part of Tim Cook’s tenure. In Apple’s announcement that Cook will step down as chief executive on Sept. 1, the company described services as a major focus area under his leadership.

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