App Store Subscription Savings: Lock in a Year of Premium Access

Apple recently made a significant change to how in-app subscriptions can be sold on the App Store, although it may not be as thrilling as the latest season of Ted Lasso.

In the developer release notes for iOS 26.5 beta 1, developers were informed about a new option to set up subscriptions with a “monthly with 12-month commitment billing plan.” This feature has now been officially announced by Apple on its developer news site.

Developers can now offer annual subscriptions with a monthly payment plan, where customers commit to 12 months but are billed monthly. This new system provides a way for users to pay less for app subscriptions without the need to pay the full price upfront.

Unlike the previous options of weekly, monthly, or annual subscriptions that could be canceled at any time, this new model requires users to commit to the full 12 months with monthly payments and no option to cancel before the term expires.

Developers have the flexibility to offer different rates for monthly subscriptions with a 12-month commitment, alongside standard annual and monthly plans. They can choose to incentivize users to pay upfront with deeper discounts on fully prepaid annual subscriptions.

Apple has set limitations to ensure fair pricing, stating that the total price of the 12-month commitment cannot be less than the upfront price but also cannot exceed 1.5 times that price.

Similar to normal annual subscriptions, users will not receive a refund if they cancel a prepaid annual subscription. The new monthly subscriptions will continue to be billed monthly until the end of the term, with the option to prevent auto-renewal by cancelling early.

Users who do not cancel before the end of their commitment will continue to be billed monthly for a new 12-month commitment in the following years. Apple has introduced a feature for users to track payments and receive reminders before renewal.

The new pay-by-month annual subscriptions will be available on various platforms but not on watchOS. While developers can start setting it up, the feature will go live with the release of iOS 26.5 in May. The subscription type will be available globally, except in the United States and Singapore, with no specific reasons provided for the exclusion.