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Apple plans to lease iPhones for $17.99 a month through Klarna deal
CNBC • • general
Key Points:
- Apple is launching a new leasing program called Upgrade in the U.S., allowing customers to lease iPhones for up to two years starting at $17.99 per month, with similar options for Apple Watches, Macs, and iPads.
- The Upgrade program, in partnership with Klarna, requires a soft credit check and offers flexible lease terms, including device return, purchase, or upgrade at lease end, without security deposits or late fees.
- This leasing initiative aims to offset recent price hikes on Apple products due to global memory shortages and shift consumer focus from high upfront costs to manageable monthly payments.
- The program replaces the iPhone Upgrade Program and offers more affordable monthly payments compared to previous financing options, positioning Apple to compete directly with carrier installment plans.
- Analysts expect Apple to continue pushing premium products, including a potential foldable phone priced around $2,500, as the company seeks to smooth revenue cycles and encourage more frequent device upgrades.
