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Why Apple’s shift to subscription services is the right move. For now.

Why Apple’s shift to subscription services is the right move. For now.

5 years ago
Anonymous $Dftgs0JzgE

https://medium.com/@kwullum/why-apples-shift-to-subscription-services-is-the-right-move-for-now-59877865b94

Karolina WullumBlockedUnblockFollowFollowingMar 26With Apple’s run of rapid and disruptive innovation having stagnated, the company needs to look elsewhere for revenue.The announcement of Apple’s new subscription services comes less than three months after the company announced they adjusted down their projected revenue— largely due to a drop in iPhone sales. In his letter to investors, CEO Tim Cook pointed to the strength of the dollar and “challenges” in emerging markets such as those in Asia (read: China) as the main reasons for the revised forecast. The launch of Apple TV+, Apple Arcade, and Apple News+ comes as a convenient distraction in turbulent times, but is nothing but a faint attempt to take the focus away from the real problem — it’s been over a decade since the company disrupted the tech industry with a brand new device.

Apple won’t revolutionize the industry with TV+, Arcade or News+. In fact, given that iTunes has been around for nearly two decades, one could say they’re late to the game. Netflix, Amazon Prime Video and Hulu have been around for years, allowing them to grow a strong foothold in the market for video streaming. Apple’s advantage is that it can seamlessly integrate its media services with its devices, which gives them easy, low-cost exposure to a relatively big market. However, Apple launching subscription services doesn’t count as innovation — it’s a half-hearted attempt to stay afloat.

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