By Investing.com — Apple Inc (NASDAQ:AAPL). has terminated its project to develop an iPhone hardware subscription service, according to sources close to the matter. The service aimed to let consumers pay monthly fees and receive new phones annually, much like a subscription to an app. However, the company recently decided to end this effort, and the team responsible for the project has been reassigned to other tasks.
This decision is part of a larger change in Apple’s approach to payment services. The subscription project was managed by the company’s Apple Pay group, which also closed a “buy now, pay later” program earlier this year. This program allowed shoppers to pay for purchases over several installments. Now, Apple is directing customers towards third-party programs instead.
The iPhone subscription service was first reported by Bloomberg News in 2022, and it was scheduled to launch by the end of that year. However, the launch was delayed to 2023 and further due to several challenges including software glitches and regulatory issues. The company’s top executives had returned the project for revision before it was ultimately abandoned. An Apple representative, based in Cupertino, California, refused to comment on the matter.
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