According to analysts, Apple had to make a significant investment in developing Apple Intelligence AI, and as a result, they plan to pass on the cost to consumers through a subscription fee. However, this decision has not been well-received by many individuals.
During WWDC 2024, Apple revealed their own AI suite called Apple Intelligence, even taking over the abbreviation “AI.”However, according to multiple insiders, the service will not be launching alongside the iPhone 16 as it is still in development.
According to a report by CNBC, industry analyst Neil Shah from Counterpoint Research suggests that Apple plans to charge for its AI features. Shah predicts that these features, known as “Apple Intelligence”, could be priced between $10 and $20 and may potentially be included in the Apple One subscription for access to more advanced AI capabilities.
Shah’s claims were also supported by another analyst. According to Ben Wood, Chief of Research at CCS Insight, Apple has effectively generated profit from the value-added services it provides. Wood added that there is a possibility for Apple to start charging for more advanced features in their Apple Intelligence offering.
According to Bloomberg reporter Mark Gurman, Apple has expressed interest in transforming Apple Intelligence into a subscription-based service. Gurman speculates that this could potentially be branded as “Apple Intelligence+”and offer enhanced features for a fee.
It is not in Apple’s nature to miss out on potential profits. Similar to companies such as OpenAI and Anthropic, who already monetize advanced AI capabilities, Apple may also consider implementing this approach.
Like other smartphones in the market, it will not be the only one offering AI features for a fee. Samsung, too, has announced its intentions to make Galaxy AI a subscription-based service after two years.
Analyst Predicts $20 Monthly Fee for Apple Intelligence byu/artemg intechnology
Despite the announcement, the news has not been well received by Apple users on Reddit. One user stated, “I have an iPhone 15 Pro, but I refuse to pay them a single cent.”Similarly, another user added, “No one is going to spend money on this garbage.”
“One Redditor responded, saying “lol, I wouldn’t want it even if it was free.”Another user commented, “That’s not a great marketing strategy if you want people to buy your products.”
Apple has announced that it will officially launch Apple Intelligence in late 2024. However, it remains unclear whether the company will charge for its top-tier features.
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