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Tech products increasingly lock core features behind subscriptions, turning ownership into "subscription captivity" for recurring revenue. From alarm clocks to cars, this shift sparks consumer backlash, regulatory scrutiny, and calls for true ownership. Ultimately, balancing innovation with consumer rights will shape the future.
Download the eBook, The impact of AI on data center security, sustainability, and talent development, to explore AI’s impact on data centers and how to prepare for what’s next.
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Costco's business model mirrors Netflix's subscription-driven approach more than Walmart's traditional retail, relying on membership fees for 73% of operating income while keeping product margins low. This fosters loyalty and exclusivity, with strategies like membership crackdowns boosting revenue. Ultimately, it positions Costco for enduring success in evolving markets.
MasterClass's 2025 holiday promotion offers 40% off annual subscriptions, reducing Standard to $72, Plus to $108, and Premium to $144, including gifts. This strategy enhances accessibility to celebrity-led courses amid market competition. It boosts subscriber growth and democratizes elite education during economic uncertainties.
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Microsoft is raising Microsoft 365 commercial subscription prices by up to 33% starting July 1, 2026, citing over 1,100 new AI and security features. This affects businesses, nonprofits, and governments, with small enterprises facing the biggest budget strain. Analysts urge exploring alternatives amid mixed reactions to the value.
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