Apple set to Introduce new Service Bundles in October to lower costs and Apple Supplier Pegatron makes an announcement
It was predicted back in November that Apple was considering bundling digital subscriptions as soon as 2020. We're learning today that Apple is indeed preparing a series of bundles that will let customers subscribe to several of the company’s digital services at a lower monthly price, according to people with knowledge of the effort, Bloomberg News reports.
The bundles, dubbed "Apple One" inside the Cupertino, California-based technology giant, are planned to launch as early as October alongside the next iPhone line, the people said. The bundles are designed to encourage customers to subscribe to more Apple services, which will generate more recurring revenue.
News from Apple Supplier Pegatron
Back in May we reported that Apple had advised its Chinese AirPods assembler Luxshare to make a major investment in Catcher. Catcher makes iPhone and MacBook casings. The reason given was that Apple wants a third iPhone supplier beyond Pegatron and Foxconn, and more specifically, a Chinese supplier.
Hearing of this rumor, iPhone assembler Pegatron may have been a little spooked and is now taking over Casetek Holdings in order to strengthen its position against rising Chinese rival Luxshare Precision.
Taiwan’s Pegatron, which along with larger competitor Hon Hai Precision Industry Co. makes most of the world’s iPhones, said in a statement it will acquire the rest of the device casings maker it doesn’t own, then take private a unit valued at about $1 billion.
Pegatron and Hon Hai are preparing for intensified competition from Luxshare and potentially other mainland rivals, as Beijing fosters a domestic supply chain in response to growing U.S. sanctions. The Shenzhen-based Luxshare is poised to become the first locally-based iPhone assembler after it sealed a deal in July to acquire Wistron Corp.’s Apple production plant.
GF Securities analyst Jeff Pu told Bloomberg that "Pegatron is trying to bolster its component business to defend itself against the rise of Luxshare. It may streamline some overlapping business with Casetek."
To reduce its Chinese exposure in the midst of a trade war, Pegatron has set up manufacturing facilities in Indonesia’s Batam along with a subsidiary in India.
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