The long-rumored bundle bringing together Apple Music, Apple TV Plus, Apple Arcade, Apple News Plus, and iCloud storage is here. Apple will give customers different options to combine its streaming services in a new Apple One bundle.
Apple’s reportedly been working on a bundle for years, and it’s easy to see why. The company’s services division is growing, and CEO Tim Cook has called it an area in which Apple wants to invest. Plus, bundling services is a good way to cross-promote: people might want Apple Music but not Apple TV Plus, but bundling Apple TV Plus with Music might help Apple drive up overall usage of its new entertainment platform while also collecting monthly revenue. Think of how Amazon bundles Amazon Prime Video and Amazon Music with its general Prime subscription fee.
The bigger deal is Apple creating an ecosystem that is harder to leave. If someone has their gaming, music, and entertainment resources all in one monthly subscription package, that might deter them from using alternative apps like Spotify. Apple creates an ecosystem that houses people’s needs and grows its services sector while doing so. Bundles can help generate a steady, consistent flow of monthly revenue and hopefully sell more hardware along the way. If everything is on people’s iPhones or iPads, they’re likely to just upgrade those devices and stay within the ecosystem than switch to an Android device, for example.
This is what Apple is hoping for, anyway. Hey, it worked for Amazon.