Apple Unveils AppleCare One, Revisiting Apple Hardware as a Service, Crunching Some AppleCare One Numbers, ChatGPT Agent Follow-Up
Hello everyone. This update ended up taking a lot longer than expected to write. As you will see, the discussion goes over quite a few new financial / business assumptions involving AppleCare+ that needed some time to breathe in my head before publishing.
Given the lack of an update yesterday, today’s update will also be longer as we go into more in-depth on one story that originally was going to be published on Thursday.
Above Avalon Week-In-Review. A recap of analysis published elsewhere in the Above Avalon ecosystem this week.
The AVALON Podcast. Episode 8: “The Art of the iPhone Fold,” was dedicated to discussing foldables. After going over some smartphone history, we discuss how the smartphone operating environment is changing, growing rumors of a foldable iPhone and ultra thin iPhone, and how the two trends could be related. The discussion also revisited the iPad mini vs. phablet dilemma that Apple faced in the 2010s and lessons learned from that era that can be applicable to foldables. The episode included other discussion topics including Give Me A Break (one ridiculous item from this week) and Tell Me More (something that caught my attention this week). AVALON is a weekly audio podcast loosely modeled after Apple's Monday morning meetings. Bundle the podcast with this daily newsletter and receive 40% off AVALON pricing. To bundle the podcast with this newsletter, fill out out this form. The Podcasts add-on, which includes access to both AVALON and these updates in audio form, can also be bundled with this newsletter here.
Inside Orchard. “Ten Uncomfortable Truths in Tech.” There is A LOT of movement and change in tech. The essay includes ten observations on what's unfolding. Topics range from Elon Musk and Ray-Ban Meta glasses to the Mac and Robinhood. To bundle Inside Orchard with this newsletter, fill out this form.
Let's jump into today's update.
Apple Unveils AppleCare One
Relying on the same branding as Apple One for bundling various Apple subscriptions into one large subscription, Apple is bringing bundling to AppleCare+ with AppleCare One.
In a press release issued on Tuesday, here’s Apple:
“Apple today unveiled AppleCare One, a new way for customers to cover multiple Apple products with one simple plan. For just $19.99 per month, customers can protect up to three products in one plan, with the option to add more at any time for $5.99 per month for each device. With AppleCare One, customers receive one-stop service and support from Apple experts across all of the Apple products in their plan for simple, affordable peace of mind. Starting tomorrow, customers in the U.S. can sign up for AppleCare One directly on their iPhone, iPad, or Mac, or by visiting their nearest Apple Store.”
Some early reaction online to this unveiling went along the lines of: It was about time that Apple offering something like this. AppleCare+ became available as a monthly subscription in 2019.
While the comment may have been said in jest, there is truth found in the broader idea that Apple is under, not over, monetizing its installed base. Instead of milking users with subpar and inferior products and services, the key is to sell offerings that improve the user experience found with being in the Apple ecosystem. This AppleCare One bundle offering would seem to fit that description as an increasing number of Apple customers have more than two Apple devices.
Another common reaction online to this news has been
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ChatGPT Agent Doesn’t Cut It
Hello everyone. Happy Tuesday.
Today’s update may make some people deep in AI mania a little bit uncomfortable as it has to do with signs of trouble on the horizon. The latest example is found with OpenAI and AI agents. Let’s discuss.
ChatGPT Agent Doesn’t Cut It
Last week, OpenAI unveiled a general purpose AI agent.
Here’s TechCrunch:
“OpenAI is launching a new general purpose AI agent in ChatGPT, which the company says can complete a wide variety of computer-based tasks on behalf of users. OpenAI says the agent can automatically navigate a user’s calendar, generate editable presentations and slideshows, and run code.
The tool, called ChatGPT agent, combines several capabilities from OpenAI’s previous agentic tools, including Operator’s ability to click around on websites, as well as Deep Research’s ability to synthesize information from dozens of websites into a concise research report. OpenAI says users will be able to interact with the agent simply by prompting ChatGPT in natural language.
ChatGPT agent is rolling out on Thursday to subscribers to OpenAI’s Pro, Plus, and Team plans…
The launch of ChatGPT agent represents OpenAI’s boldest attempt yet to turn ChatGPT into an agentic product that can take actions and offload tasks for users, rather than just answering questions. In recent years, Silicon Valley companies including OpenAI, Google, and Perplexity have unveiled dozens of AI agents that have promised to do just that. However, these early version AI agents have proven to struggle with complex tasks, and they seem less compelling as products than the ultimate vision tech executives pitch around AI agents."
OpenAI told The Verge that agent is a result of the Operator and Deep Research teams being combined to produce a team of approximately two to three dozen people.
The basic idea on display here isn’t exactly new. Every prior attempt to figure out agents has led to dead ends, forgotten promises, and an overall yawn.
Not to bury the lede: This agent unveiling and launch was not good enough.
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Member Privileges and Benefits
Become an Above Avalon member and receive the following privileges and benefits:
Exclusive Analysis. Receive the Above Avalon Daily newsletter, widely-recognized as the leading daily newsletter dedicated to Apple. Now in its tenth year.
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