Apple launches Apple Upgrade, a new US leasing program in partnership with Klarna that replaces the iPhone Upgrade Program, starting at $17.99/month for iPhones

MacRumors 2026-07-29 Juli Clover

Context & Ripple Effects

Apple Upgrade replaces a program whose online availability was expanded in 2016 through the iPhone Upgrade Program's online rollout. The change shifts Apple's iPhone upgrade proposition from that established program to a lease structure with Klarna.

The launch follows reports that Apple and Klarna were preparing a broader leasing initiative across several device categories ahead of the announced rollout. This report establishes the iPhone offer and its entry price, while leaving the scope beyond iPhones unconfirmed.

First-order effects

US iPhone buyers gain an Apple-branded leasing option starting at $17.99 per month, while the existing iPhone Upgrade Program is replaced.
Apple makes Klarna the financing partner for this offer, placing Klarna directly in the customer-payment flow for eligible leases.

Second-order effects

A lower advertised monthly entry point gives Apple another direct upgrade path alongside carrier financing, reinforcing the customer relationship that the original upgrade program was designed to bring closer to Apple rather than carriers.
Klarna becomes more strategically exposed to Apple device demand and lease execution; the program's uptake will determine whether the partnership becomes a meaningful distribution channel for its financing products.

Third-order effects

If Apple extends leasing beyond this initial iPhone offer, device access could increasingly be packaged as recurring monthly use rather than a one-time handset purchase, making upgrade retention and asset recovery more central to Apple’s sales model.
The arrangement illustrates a broader division of labor in consumer hardware: manufacturers can own the upgrade experience while specialist finance partners handle payment and leasing infrastructure, though the economics depend on repayment and device-return performance.

The trend: Apple Upgrade is one data point in the shift from carrier-led handset subsidies and installment sales toward manufacturer-controlled, partner-financed device access.

Discussion

@bengeskin Ben Geskin on x
Buy an iPhone 17 Pro 256GB for $1,099, use it for a year, then sell it for around $750. …
@snazzylabs Quinn Nelson on x
Never seen a group of folks so excited to lease a phone.
@caro_milanesi Carolina Milanesi on x
Apple launched Apple Upgrade today, a Klarna-backed leasing program covering iPhone, iPad, Mac, and Apple Watch in the US. …
@benbajarin Ben Bajarin on x
The Apple HW ecosystem, entry level, for $79.96 a month. Apple didn't have to lower prices of hardware to compete they just had to officially launch hardware as as service.
@johei13 João Pedro Cardoso on x
People are going to be like “you will own nothing and be happy” but what Apple are essentially doing is giving access to hardware during the AI Memory crysis with a very good lease agreement.After 2 years if you want to buy it, it would be the same as buying it outright
@sethrubenstein Seth Rubenstein on x
Apple dropping the iPhone Upgrade Program in favor of basically Apple-backed Klarna purchases is IMO not something to celebrate. Trading a guaranteed upgrade within 12 months with insurance to slightly lower payments without either of those things is just a sign of the economic c…
@vadimyuryev Vadim Yuryev on x
In the long term, it doesn't make sense to lease, but as a business expense.. $50 a month is very reasonable and manageable. I have a feeling this will boost sales like never before.
@benbajarin Ben Bajarin on x
My take on this is that Apple just made the PC ecosystems consumer ambitions that much more difficult. MBA starting at $25 a month. MBP starting at $39 a month for 36 months....Consumers should eat this up.
@robertjbye Robert Bye on x
@markgurman Interesting that the Mac mini and Neo isn't available on the new Apple Upgrade program. [image]
@greengart Avi Greengart on x
0% interest. The key here is that Apple is willing to pay Klarna to finance it to keep new device sales high and maintain a funnel for preowned sales in the future.
@basicappleguy Basic Apple Guy on x
Apple Upgrade has officially launched in the US. Customers can now lease a range of Apple products on 12-, 24-, or 36-month terms, with monthly payments ranging from $11.99 to $327.21 depending on the device and configuration. Everything's a subscription now. [image]
@robertjbye Robert Bye on x
It was only a matter of time for HaaS (Hardware as a Service) to become a thing. Especially when “pro” computers and phones cost over $2k.
@mweinbach Max Weinbach on x
It's funny to see people reading into the Apple Upgrade terms and genuinely not believe it's possible to have a lease that's a good deal for the consumer and company
@raywongy Ray Wong on x
So a 256GB iPhone 17 Pro costs $1,099 to own The Apple Upgrade leasing program will let you borrow it for: …
@klarnaseb Sebastian Siemiatkowski on x
This is a personally proud moment for me. @Klarna is now the leasing provider for @Apple Upgrade …
@brandenflasch Branden Flasch on x
Apple Upgrade is probably a good option for a lot of people - this is for a loaded 13" MBA [image]
@cartidise Noah Cat on x
you can now lease iPhones and other Apple products in the US for 12/24/36 months by paying …
@mweinbach Max Weinbach on x
Apple Upgrade genuinely is such a great value for some of these devices, I keep looking at devices and terms. The 16-inch MacBook Pro M5 Max with 128GB memory, 4TB storage is $250/m for 24 months. Given silicon advancements and upgrade cycles, this is a killer deal. [image]
@mweinbach Max Weinbach on x
Apple Upgrade leasing program is very good. You can can an iPhone 17 + MacBook Air + Apple Watch for $61 per month You would get phone and watch for 2 years, MacBook Air for 3. It would cost less than financing them upgrading and you could buy it out. 0% interest is killer
@chancehmiller Chance Miller on x
Apple has officially launched the Apple Upgrade program, backed by Klarna. …
@mweinbach Max Weinbach on x
Apple launched Apple Upgrade today, which is their new leasing program! It's 0% interest, no down payment, and available through Apple with Klarna handling the lease. You can get a MacBook Air for $25/m for 36 months
@joannastern Joanna Stern on x
Apple just announced Apple Upgrade, a new program that lets you lease an iPhone, iPad, Mac or Apple Watch. Details in the video below. For some reason, leasing a laptop feels so much weirder to me than leasing a phone but I bet a lot of people will do it. [video]
@bdsams Brad Sams on x
Please don't lease a computer [image]
@raywongy Ray Wong on x
We are officially in the world of “you will own nothing and be happy” https://www.apple.com/...
@aaronp613 Aaron on x
Apple has officially launched the “Apple Upgrade” program: “Introducing Apple Upgrade, a new way to always have the Apple products you love. Lease a new iPhone, iPad, Mac, or Apple Watch with pocket-friendly payments and terms that work for you. Then easily upgrade to something n…
@markgurman Mark Gurman on x
Now official: Leasing prices start as low as $17.99 per month for iPhone, $11.99 for Apple Watch, $24.99 for Mac, and $11.99 for iPad.
Karen Rasmussen Karen Rasmussen on linkedin
Today we launched Apple Upgrade - it has been a labor of love over several years and are thrilled with the reaction so far! — https://lnkd.in/...
Klarna Klarna on linkedin
We're very excited that Klarna is now the leasing provider for Apple Upgrade, live today on Apple Store online, the Apple Store app, and in Apple stores across the US. …
r/tmobile r on reddit
Will this change your Iphone updgrade or buying habits with Tmobile? Apple plans to lease iPhones for $17.99 a month through partnership with Klarna
r/technology r on reddit
Apple Upgrade: Apple will now let you lease your next iPhone or Mac instead of buying it
r/technology r on reddit
Apple plans to lease iPhones for $17.99 a month through partnership with Klarna
r/iphone r on reddit
Apple Upgrade launches in the United States
r/apple r on reddit
Apple Upgrade launches in the United States

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