Samsung has a new plan to put artificial intelligence (AI) technology in your hands, but not by drone delivery. Instead, it's launching AI Subscription Club, a program that lets you rent the company's latest AI-powered gadgets for a monthly fee, Techradar reports.
It's like leasing a car, but instead of a luxury sedan you get a Galaxy phone or even the AI-powered Ballie companion robot that debuted at CES this year.
On paper, it sounds great. You get shiny new tech, Samsung gets predictable cash flow, and everyone walks away happy. But will they have to? That depends on a few things. First, there's the matter of pricing. If subscription costs rival traditional financing plans or carrier upgrades, it may not seem very lucrative. Second, there's the big issue of "ownership versus rent." Some people like to know that their widgets are truly theirs, even if they are a few years behind the latest trends.
Although the name AI Subscription Club might suggest, it's not about a subscription to software features, at least for now, as the Galaxy AI tools remain free until the end of the year. The subscription model for hardware allows you to rent devices like phones, tablets, and robots. Samsung promises that this will make staying up-to-date more affordable and reliable, while also guaranteeing them a steady revenue stream.
Subscribers who pay a monthly fee get access to a portion of Samsung's hardware catalog. In some ways, it's like leasing a car. For example, you can upgrade to new models without selling the old devices. If you have a hankering for new tech but don't want to pay for it every year, this is a good deal. It also comes with extra support services, so if Ballie accidentally rolls off the table or your phone gets an unplanned bath, Samsung will come to the rescue.
It's notable that the company is pursuing this business model after similar attempts, such as the Google Pixel Pass failure. Still, Samsung may see this as the best way to get people to try out its more expensive technology without paying the high price. Then, if they like it, they might be more willing to shell out the money.
Samsung isn't starting from scratch here. AI Subscription Club actually started last year as a home appliance rental program in South Korea. Users could subscribe to AI-powered washing machines, refrigerators and TVs, as well as maintenance services. Extending this concept to mobile devices and AI gadgets is a natural next step, though it remains to be seen whether the same appeal will carry over to smartphones and tablets.
The subscription model also raises an interesting question: are we moving towards a world where we will stop owning our tech? Between that and services like Google's Chromebook rental, it's easy to imagine a future where everything from our phones to our refrigerators is provided as a service. For some, that's exciting. For others, it's a little bleak. Either way, it's clear that Samsung sees subscriptions as part of its future.
For now, AI Subscription Club stays close to home, rolling out first in South Korea. Samsung hasn't confirmed plans for a global launch, but it's not hard to imagine this program popping up elsewhere if it gains popularity. And with the Galaxy S25 series expected to debut at the Galaxy Unpacked event later this month, this could be Samsung's way of keeping the buzz going. | BGNES
