Apple is preparing to launch a new subscription service, called “Apple Upgrade”, which will cover iPhones, iPads, Macs and Apple Watches. The news is expected to be announced next week, according to information.
This initiative, developed in collaboration with financial company Klarna Group Plc, will initially be introduced only in the United States. The service will be available in both physical Apple stores and the Apple Store Online.
“Apple Upgrade” will work similarly to other lease programs, giving users the flexibility to pay off the device before the end of the contract, upgrade to a newer model, or keep the device after the subscription period. There are indications that extra costs may be applied in specific situations.
Specifically, contracts for iPhones and Apple Watches will last 24 months, while Macs and iPads can be used for a period of 36 months. Contracting the service will depend on a credit analysis, and the user will always have the option of returning the device at the end of the rental period.
Apple’s goal is to position “Apple Upgrade” as an alternative with more affordable monthly payments compared to existing financing plans. The company would even be planning to end the iPhone Upgrade Program and its standard financing options to focus on this new offering.
However, unlike the iPhone Upgrade Program, the new “Apple Upgrade” will not feature the AppleCare service. Additionally, entry-level models such as the Apple Watch SE 3, the iPad (A16 Bionic), the iPhone 16 and the MacBook Neo will not be part of the offer. Finally, the program will not be accessible to corporate customers or students.
The “Apple Upgrade” was the subject of rumors for a few years, and was supposedly canceled internally at the end of 2024. Its arrival comes at a time when Apple increased the prices of several products, impacted by the DRAM 1 crisis, resulting from the high demand for memory chips in the artificial intelligence sector.
