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Apple’s reportedly raising the price for AppleCare Plus on Macs and iPads
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Apple is reportedly increasing the price of its AppleCare Plus extended warranty plans for Macs and iPads, according to Bloomberg’s Mark Gurman. New subscribers will see a monthly increase of $0.50 and an annual increase of $5, while existing subscribers will retain their current rates. For instance, a plan for a new 13-inch MacBook Air will rise to $7.99 per month from $7.49, or to $79.99 annually from $74.99. This move follows a similar price hike for iPhone AppleCare Plus plans last year. As of now, the updated pricing has not appeared on Apple’s US website or terms of service, and Apple has not responded to requests for comment.
AppleCare Plus provides extended warranty coverage and technical support beyond the standard one-year limited warranty. The service is popular among Apple customers who want protection against accidental damage and hardware failures. The reported price increase comes amid broader cost pressures across Apple’s product lineup. Last month, Apple raised prices on iPads, Macs, the Vision Pro, HomePod devices, and the Apple TV 4K, with increases ranging from $30 on the HomePod mini to $4,200 on the M3 Ultra Mac Studio.
CEO Tim Cook attributed these hardware price hikes to an ongoing RAM shortage, stating that Apple had tried to shield customers but the situation became unsustainable. The RAM shortage has driven up component costs, particularly for DRAM and NAND flash memory, affecting multiple product categories. By raising AppleCare Plus prices, Apple may be looking to offset the impact of higher component costs on its services revenue stream. Services, including AppleCare, Apple Music, and iCloud, have become a significant profit driver for the company.
The price increase applies only to new subscribers, which may encourage existing customers to stick with their current plans. This strategy mirrors last year’s iPhone AppleCare Plus hike, which also grandfathered existing users. Analysts suggest that Apple is testing customer sensitivity to service price increases as it seeks to maintain margins amid rising costs. If successful, similar adjustments could be applied to other Apple services in the future.
Customer reactions have been mixed, with some expressing frustration over the cumulative cost of Apple products and services. On social media, users have noted that while the individual increases are modest, they add up over time. Others point out that AppleCare Plus can still be worthwhile for high-end devices like MacBooks, where repair costs are significant. Apple has not publicly justified the AppleCare Plus price change, but the timing aligns with the broader hardware price hikes.
Looking ahead, Apple has not yet raised iPhone prices, but the iPhone 18 Pro lineup, expected later this year, could see price increases due to the RAM shortage. This would mark the first iPhone price hike since the iPhone 14 series. Additionally, if component costs remain high, further adjustments to AppleCare Plus and other services may follow. Apple’s ability to pass on costs while retaining customers will be closely watched by investors and analysts. For now, new AppleCare Plus subscribers for Macs and iPads will face slightly higher costs, while existing users enjoy a reprieve.
