Apple Launches Apple Upgrade Device Leasing Program

Apple Inc. will launch a new subscription-based device leasing program called Apple Upgrade on July 28 in the United States. Backed financially by Klarna Group, the service will be available through online channels and physical retail stores to help stimulate sales following price increases on several devices caused by rising memory and storage chip costs.

The program allows users to pay off devices early, switch to newer models before their term expires, or keep the hardware after the lease concludes. To facilitate the transition, Apple plans to end new enrollments in its standard financing and the existing iPhone Upgrade Program. The company intends to market Apple Upgrade as offering lower payments than these previous financing options.

Most iPhone, Mac, iPad, and Apple Watch models are eligible for the program. However, the initiative excludes business and education purchases, AppleCare, and specific hardware, including the iPhone 16, MacBook Neo, entry-level iPad, and Apple Watch SE.