Apple Launches Hardware Leasing Program and Names New CEO

On July 28, 2026, Apple Inc. launched Apple Upgrade in the United States, a hardware leasing program partnered with Klarna. The service allows customers to lease iPhones and Apple Watches for 12 or 24 months, and Macs and iPads for 24 or 36 months, with monthly payments starting at $11.99. This initiative replaces the previous iPhone Upgrade Program and standard financing options, though it notably excludes AppleCare and entry-level models such as the iPhone 16, MacBook Neo, and Apple Watch SE. The program is a strategic response to price hikes caused by an industry-wide memory chip shortage termed RAMageddon.

To support this model, Apple developed a system discovered in the iOS 27 beta called App Managed Features. This allows financing partners to trigger a Restricted Mode that blocks most apps and services if customers miss payments, alongside a Partner Finance Lock to prevent the resale of overdue devices.

Beyond retail shifts, Apple is undergoing a major leadership transition. John Ternus, currently Senior Vice President of Hardware Engineering, will become CEO on September 1, 2026. He succeeds Tim Cook, who will move into the role of Executive Chairman of the Board of Directors. Additionally, Apple has filed a lawsuit against OpenAI regarding intellectual property and trade secrets. These changes come amid anticipation for the company's July 30 earnings report and the development of a foldable iPhone Ultra.