Apple Launches Device Leasing Program for iPhones, Macs and More
Apple is introducing a new leasing program that will allow customers to lease iPhones, Macs and other premium devices instead of purchasing them outright, as the company looks to make its products more affordable amid rising electronics prices.
The new program launches in the United States on Tuesday through Apple retail stores, Apple’s online store and the Apple Store app, in partnership with payment platform Klarna.
Flexible Lease Terms Across Apple Devices
Customers will be able to lease eligible Apple products for fixed periods depending on the device.
iPhones and Apple Watches
- 12-month lease
- 24-month lease
Macs and iPads
- 24-month lease
- 36-month lease
- Eligible Devices
The leasing program covers several of Apple’s latest premium products, including:
- iPhone 17 lineup
- iPhone Air
- Apple Watch Series 11
- Apple Watch Ultra 3
- MacBook Air
- MacBook Pro
- iMac
- Mac Studio
- iPad Air
- iPad Pro
- iPad mini
However, Apple’s lower-priced products are excluded from the initiative, including:
- iPhone 16
- MacBook Neo
- Base iPad
- Apple Watch SE
Replacing the iPhone Upgrade Program
The new leasing service replaces Apple’s iPhone Upgrade Program, which allowed customers to trade in their iPhones after making 12 monthly payments.
Unlike its predecessor, the new offering extends beyond smartphones to include Macs, iPads and Apple Watches while providing more payment options and lower monthly costs.
According to Apple, the most affordable iPhone lease starts at $17.99 per month, compared with approximately $42 per month under the previous iPhone Upgrade Program.
Making Premium Devices Feel More Affordable
Industry analysts believe the program could encourage consumers to view Apple hardware more like a subscription service than a major one-time purchase.
Francisco Jeronimo, an analyst at International Data Corporation (IDC), said the move reflects changing consumer buying habits.
Most smartphone users no longer replace their devices annually. According to a Reviews.org survey conducted last year, the average American now keeps a smartphone for approximately 22 months before upgrading.
Rising Prices Driving New Strategy
The leasing program arrives as expectations grow that Apple’s future devices will become even more expensive.
Last month, Apple increased prices on several Mac and iPad models, citing an ongoing global memory shortage driven by growing demand for data centres.
Earlier this month, Mike Howard, Vice President of Memory Coverage at TechInsights, suggested consumers should prepare for even higher prices.
“We should start thinking about a $1,500 iPhone instead of a $1,000 (or) $1,200 iPhone.”
Launch Comes Ahead of New iPhone Lineup
Apple’s new leasing program debuts just weeks before the company’s expected iPhone launch event in September.
The company is widely anticipated to unveil its first foldable iPhone, which analysts believe could become Apple’s most expensive smartphone to date.
Jeronimo believes the timing is significant.
“Apple’s real risk is that rising prices even further can impact the upgrade cycle.”
He added:
“Apple Upgrade lands at precisely the moment Apple needs it.”
By lowering the upfront cost of premium devices, Apple appears to be betting that flexible monthly leasing will encourage more customers to continue upgrading even as flagship device prices continue to climb.
