Apple Raises Apple Music Subscription Prices in Israel Amid Rising Costs

Apple has increased the prices of its Apple Music service and Apple One bundles in Israel for the first time since 2022. The personal Apple Music subscription now costs 23.90 shekels per month, up from 21.90 shekels, while the family plan, which supports up to six users, rose from 33.90 to 39.90 shekels monthly. Student subscriptions also increased by one shekel, now priced at 12.90 shekels per month.

The company attributes the price hike to rising licensing fees and royalties paid to record labels and artists, set against a broader wave of price increases in the technology and streaming sectors. This adjustment follows recent price increases in Apple hardware products such as MacBooks and iPads, driven in part by higher demand for memory and storage components from data centers amid rapid growth in artificial intelligence technologies.

The increased demand for AI-related components has strained global supply chains, leading manufacturers to redirect resources to data center markets and raising production costs for consumer electronics. Consequently, many companies, including Apple, are passing these costs on to consumers.

Apple is not alone in facing price pressures; the technology and entertainment industries have seen price rises across laptops, gaming consoles, and competing streaming services. Despite these challenges, Apple recently regained its position as the world's most valuable company by market capitalization, buoyed by investor optimism about growth in its services, hardware, and emerging technologies.

For Israeli consumers, the price increases mean higher monthly bills for Apple’s music and content services starting this month, reflecting a broader trend of rising costs in the tech sector.