Apple launches leasing program as iPhone Upgrade Program ends
Apple introduced a new leasing service called Apple Upgrade, replacing the discontinued iPhone Upgrade Program, with lower monthly payments but optional AppleCare and a broader device range.
Apple has rolled out a new leasing service named Apple Upgrade, coinciding with the termination of its iPhone Upgrade Program. Unlike the former, which was a financing plan that resulted in ownership of the device, Apple Upgrade operates as a lease: customers make monthly payments for 12 or 24 months and can then return the device, exchange it for a newer model, or pay a buyout fee to keep it.
The lease structure allows for lower monthly costs compared with the previous program, partly because AppleCare is not included by default. Customers may add AppleCare separately if they wish to protect a leased device. Under the iPhone Upgrade Program, AppleCare was mandatory and the full price of the phone was spread across the monthly payments, eliminating any end-of-term charge.
Apple Upgrade also expands beyond iPhones, offering lease options for Macs, iPads and Apple Watches, each with varying term lengths. Users must apply for each product individually. The new program aims to provide a flexible, subscription-style approach to acquiring Apple hardware.