On Friday, Apple announced a price increase for its Apple TV streaming service, raising the monthly fee from $12.99 to $14.99, or $119 annually, while the Apple One bundle price also rose from $19.95 to $21.95. This adjustment aligns Apple TV's pricing more closely with competitors in the streaming space.
Since its launch in 2019, Apple TV has significantly expanded its content offerings, including popular titles like 'F1' and 'Ted Lasso.' The price hikes follow a previous increase in Apple Music subscriptions, attributed to rising licensing costs.
In its third quarter, Apple reported $30.7 billion in services revenue, marking a 12% growth, although the gross margin for this segment declined slightly due to product mix and foreign exchange issues. The changes come as Apple emphasizes its services sector, which has been a key focus during CEO Tim Cook's tenure, especially as he prepares to step down on September 1