Apple is planning a subscription model for its iPhone, the first time the company will have wrapped hardware into its automatically recurring sales stream.

Bloomberg cited ‘insiders’ who have knowledge of the matter, and Apple shares jumped 2.3 per cent after the report.

Leasing hardware is a logistic move for many, but the iPhone sales currently generate over half the company’s revenue, bringing it A$255.6 billion last year.

According to Bloomberg’s insiders, the plan is to let customers subscribe to hardware using their Apple ID and App Store account, much like they pay for cloud service.

Customers will be used to such a model, given many wrap their phone payments into a 24-month installment plan through their telco.

However, pricing for this subscription won’t take the form of the price of a device, divided across 12 or 24 months, but rather will be a straight monthly fee, depending on which hardware you loan and what other Apple services you wrap into your monthly subscription.

This service is expected to launch in late 2022.