Apple TV+ has officially raised its monthly subscription fee from $9.99 to $12.99, marking a substantial 30% jump in cost. The change took effect on August 21, 2025, for new subscribers, while existing users will begin to see the new price reflected in their billing within 30 days of their renewal date. This move represents the third major price increase since Apple TV+ launched in 2019, following earlier hikes in 2022 and 2023.
While Apple positions this as part of its broader commitment to expanding high-quality, ad-free entertainment, the increase has sparked strong reactions across the streaming market, raising questions about affordability, competition, and the long-term strategy behind the service.
The Price History of Apple TV+
Apple TV+ entered the crowded streaming market in late 2019 with a highly competitive price point of just $4.99 per month, undercutting established rivals like Netflix and Hulu. At launch, Apple’s goal was not necessarily to become the market leader overnight but to build its subscriber base and tie its media service into its growing hardware ecosystem.
Over time, however, the price has crept upward:
- 2019: $4.99/month (launch price).
- 2022: Raised to $6.99/month.
- 2023: Increased again to $9.99/month.
- 2025: Now at $12.99/month.
This latest jump is the largest single increase so far, representing a 30% rise in one stroke. By comparison, Netflix and Disney+ have often raised their prices gradually, introducing ad-supported tiers to soften the blow. Apple, on the other hand, has opted for fewer but sharper increases—while continuing to maintain a purely ad-free experience.
Why the Increase Now?
Apple has cited its growing slate of award-winning original programming as the primary reason behind the hike. Over the past five years, Apple TV+ has built a reputation for premium, critically acclaimed shows such as Ted Lasso, Severance, The Morning Show, and Slow Horses. These productions, along with a growing catalog of films, documentaries, and kids’ programming, come with substantial production and licensing costs.
But beyond the content justification, there are deeper forces at play:
- Streaming Economics
The global streaming market has matured, and many platforms have adopted a model of annual price adjustments. Once lured by low introductory offers, subscribers across services now face steadily rising costs. Apple is simply aligning itself with this broader industry trend. - Financial Pressures
Despite its critical successes, Apple TV+ is estimated to lose more than $1 billion annually. The company has scaled back its content budget from nearly $5 billion to around $4.5 billion, yet the service remains costly to operate. Raising subscription prices is an attempt to offset those losses and make the platform more sustainable in the long run. - Market Positioning
By pricing Apple TV+ higher, Apple signals confidence in its unique value proposition. Unlike rivals that rely on large back catalogs, Apple TV+ continues to emphasize quality over quantity, betting that consumers will pay more for polished, exclusive programming.
Global Rollout and Regional Variations
The U.S. price increase to $12.99/month was the most widely reported, but international markets are also seeing changes:
- United Kingdom: From £8.99 to £9.99.
- Australia: From AUD 12.99 to AUD 15.99.
- Other Regions: Certain markets, such as the Philippines, remain at PHP 369/month for now, though adjustments are expected in the near future.
Apple’s staggered approach suggests that pricing changes will roll out globally in phases, tailored to each country’s economic landscape and competitive environment.
Subscriber Reactions
As expected, the increase has stirred strong reactions from subscribers.
- Immediate impact: New customers signing up after August 21 are already paying the higher rate. Existing subscribers have a 30-day grace period before the change hits their billing cycle.
- Online backlash: Many users argue that while Apple TV+ boasts excellent shows, its overall content library is still smaller compared to giants like Netflix, Disney+, or Amazon Prime Video. For them, a $13 monthly fee feels excessive.
- Cancellations and Conversions: Some subscribers have canceled in frustration, while others are choosing to switch to the annual plan, which remains at $99/year. This represents better value, bringing the effective monthly cost down to around $8.25—significantly cheaper than the new monthly rate.
Interestingly, by keeping the annual plan unchanged, Apple may be deliberately nudging more subscribers toward long-term commitments, thereby reducing churn.
How Apple TV+ Compares to Competitors
The price hike also reshapes Apple TV+’s position in the streaming market:
- Netflix: Offers a $7.99 ad-supported tier, a $17.99 standard plan, and a $24.99 premium plan.
- Hulu: Charges $9.99 with ads and $18.99 for an ad-free plan, often bundled with Disney+.
- Peacock: Recently raised both its ad-supported and ad-free tiers by $3.
- Disney+: Continues to experiment with bundled offers and ad-supported options.
Compared to these services, Apple TV+ is still competitive in price—but only if viewed through the lens of its ad-free guarantee. Unlike rivals, Apple has resisted launching a cheaper ad-supported tier, preferring to keep its content experience consistent and uncluttered.
That said, its smaller library size remains a sticking point. While Netflix offers thousands of titles, Apple TV+ continues to focus on a carefully curated lineup. The question is whether enough subscribers will pay more for fewer—but often higher-quality—options.
The Strategic Role of Apple TV+
It’s important to recognize that Apple TV+ isn’t just a standalone streaming service—it’s a strategic component of Apple’s larger ecosystem.
- Ecosystem Integration: Apple TV+ integrates seamlessly with iPhones, iPads, Macs, and Apple TVs, reinforcing customer loyalty to Apple hardware.
- Apple One Bundle: The price hike does not affect bundled offerings under Apple One, which combines services like Apple Music, iCloud, Apple Arcade, and Fitness+. This bundle remains a compelling option for those already invested in Apple’s ecosystem.
- Retention and Loyalty: By keeping the annual plan and bundle pricing stable, Apple encourages subscribers to commit for longer terms, ensuring lower churn and deeper engagement across its services.
In this light, Apple TV+ is less about immediate profit and more about strengthening Apple’s long-term ecosystem strategy.
What Comes Next?
Several key trends are worth watching in the wake of this price hike:
- Subscriber Churn vs. Retention
Will the increase lead to significant cancellations, or will loyal Apple users absorb the cost? If cancellations spike, Apple may be forced to consider introducing a cheaper, ad-supported tier in the future. - Content as the Deciding Factor
Upcoming releases will play a critical role in justifying the higher fee. Highly anticipated titles include The Morning Show Season 4, Slow Horses Season 2, the political thriller Pluribus, and feature films such as Highest 2 Lowest. These projects will help determine whether subscribers feel they are still getting value for money. - Financial Improvement
If successful, this move could significantly reduce Apple TV+’s reported billion-dollar annual losses, moving the service closer to profitability. - Global Expansion of Pricing
Apple is expected to roll out similar price changes across more international markets in the coming months, ensuring global consistency.
Conclusion
The latest Apple TV+ price hike—to $12.99 per month in the U.S. and equivalent increases globally—marks a pivotal moment for the service. It underscores the growing costs of producing premium, ad-free content while highlighting Apple’s commitment to positioning its platform as a high-value, ecosystem-driven offering.
For subscribers, the decision is nuanced. Those who value Apple’s unique lineup of critically acclaimed shows may view the higher fee as worthwhile, particularly if they switch to the annual plan or Apple One bundle. Others, however, may feel the rising cost is harder to justify compared to competitors with larger libraries and more flexible pricing tiers.
Ultimately, the future of Apple TV+ will hinge on its ability to balance quality content, pricing strategy, and ecosystem loyalty. For now, the message from Apple is clear: premium entertainment comes at a premium price—and Apple believes its loyal audience is willing to pay for it.