Overview
- Apple announced Apple Upgrade, which went live on July 28, offering U.S. customers the option to lease iPhones, iPads, Macs, and Apple Watches through the Apple Store online, the Apple Store app, and physical retail locations.
- The program uses Klarna for approvals with a soft credit check and sets fixed lease terms of 12 or 24 months for iPhone and Apple Watch and 24 or 36 months for Mac and iPad, with advertised entry prices starting at $17.99 for iPhone, $11.99 for Apple Watch, $24.99 for Mac, and $11.99 for iPad.
- Leases do not convey ownership during the term; at lease end customers can return the device, upgrade to a new lease, or pay a buyout equal to list price minus payments made, and AppleCare is not bundled by default though it can be added for extra cost.
- Apple has retired the older iPhone Upgrade Program for new signups and is migrating financing duties from prior partners to Klarna, and leased iPhones require a postpaid plan from AT&T, T‑Mobile, or Verizon with prepaid plans ineligible.
- Reporters and consumer advocates warn the program lowers monthly outlays but may cost consumers more over time because Apple controls buyout math, can charge for damage or early termination, and the move follows recent Apple price increases and arrives before September product launches.