Apple prepares to launch its Apple Pay Later buy now pay later service, the company is also continuing to develop an iPhone hardware subscription service.
However, according to a new report from Bloomberg, just like Apple Pay Later, the iPhone hardware subscription service has been plagued by engineering delays.
In the latest Power On newsletter, Bloomberg’s Mark Gurman explains that Apple currently has four fintech projects in the works. Two of these are the Apple Card Savings Account and Apple Pay Later, which have been publicly announced.
The other two programs that have not been announced are Apple Pay Monthly Installments and the iPhone Hardware Subscription Program.
Gurman said the iPhone subscription program was originally scheduled to launch with the iPhone 13 series in 2021 or the iPhone 14 series in 2022. However, like Apple’s other fintech projects, it has “encountered engineering and technical obstacles that have slowed progress and missed deadlines. Nevertheless, the project is still being carried out within Apple and has not been canceled.
The iPhone hardware subscription program is a monthly fee that allows users to directly use the iPhone and iPad hardware and can keep changing to the latest models. However, the monthly cost of the subscription will not be the installment price of the device but will be “a monthly fee that has not yet been determined, depending on the device selected by the user.
Bloomberg explains that Apple’s fintech services are based on an underlying platform created by Apple, which it says is “one of the most ambitious parts of Apple’s financial business. The platform, called “Project Breakout,” will be used by Apple to move more fintech projects entirely in-house, rather than to partners, including “checks, approvals and transaction history.
Apple Pay Later is expected to launch sometime in “March or April,” according to Gurman.
