Apple could soon change how customers buy its devices. The company is reportedly preparing a new subscription-style leasing programme called Apple Upgrade, which could allow users to get iPhones, Macs, iPads and Apple Watches through monthly payments.
According to a Bloomberg report, the programme is expected to launch in the US on July 28. Apple has not publicly confirmed the plan.
Unlike a traditional purchase, Apple Upgrade aims to give customers more flexibility during and after the lease period. Users could pay off a device early, upgrade to a newer model before the term ends, or keep the device after completing the lease.
The service will allow customers to return the device, making the model similar to leasing a car. Some options may involve additional fees.
The programme will be funded by Klarna. Apple is expected to promote it as a way to access its hardware through lower monthly payments compared with existing financing options. A basic credit check could be required during enrolment.
The terms could vary depending on the product and will include almost all products from the company's range. However, there might be some exceptions. Some of them could be such as the iPhone 16, Apple Watch SE, low-cost iPad, and MacBook Neo.
The program that was announced by Apple might look completely different from the existing offers for iPhones. It consists of AppleCare+ with Theft & Loss and an upgrade for those people who have made 12 installments.
Looking ahead, Apple Upgrade will not include AppleCare. That could reduce the value of the plan for customers who want protection against accidental damage, theft, or loss. The current service is expected to be available through Apple's online store and physical retail outlets in the US.
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