Why Apple Needs a Subscription Plan

The video discusses the potential for Apple to transition to a subscription-based model, similar to Amazon Prime, by bundling products and services like iPhone, Apple TV, and Apple Music. This model could help Apple seed the market with new products and gain critical mass quickly. Despite current success with the iPhone 7, the smartphone industry is experiencing low growth, prompting Apple to explore adjacent revenue sources. The discussion also touches on the competitive landscape, particularly Samsung's challenges, and the possibility of Apple expanding its subscription offerings.

Why does the speaker suggest Apple should focus on subscription services?

• To compete with Amazon Prime

• Due to the decline in smartphone industry growth

• To increase the price of iPhones

• To reduce production costs

What is the proposed monthly cost for the Apple subscription bundle?

• $30

• $40

• $50

• $60

Which of the following is NOT mentioned as part of the Apple subscription bundle?

• iPhone

• Apple Music

• Apple TV

• Apple Watch

How does the proposed Apple subscription model compare to Amazon's model?

• It includes only hardware products

• It is more expensive than Amazon's model

• It offers more free content

• It is a freemium model with some paid content

What is a potential benefit of Apple adopting a subscription model according to the discussion?

• It would increase Apple's dependency on hardware sales

• It would allow Apple to reduce prices

• It would eliminate competition from Samsung

• It could help Apple introduce new products more effectively