Apple pulled out all the stops for its media event Tuesday but it wasn’t an iPhone that took center stage, at least in the beginning.
Instead, Chief Executive Tim Cook used the event to focus on new areas of growth for the Cupertino, California iPhone maker, namely subscription services.
In the first moments of the keynote, Cook and Apple executives touted out advances in its gaming subscription service and its upcoming content platform Apple Plus TV.
Apple Arcade undercuts rivals
In the case of Apple Arcade, the company announced that it will launch later this month with more than 100 exclusive games. Customers get access to all the games on an unlimited basis for just $4.99 a month.
As for Apple TV Plus, its much-anticipated streaming content service, Cook said it will cost $4.99 a month for unlimited access, the equivalent of renting one movie.
The service will be available on November 1. Cook said Apple will add more original movies each month. The service will be available at launch in more than 100 countries. To entice users, Apple is giving away a year subscription when you purchase a Mac, iPad or iPhone.
Apple wants repeat revenue
Apple is clearly going after reoccurring revenue with these two services. With iPhone demand slackening it is looking at new ways to boost growth. By undercutting its streaming video and content rivals, it could gain critical mass, which should drive sales of its mobile devices.