Apple Upgrade Programme Reportedly Launching on July 28 With iPhone, iPad, Mac, Apple Watch Leasing Options

Apple is said to be gearing up to introduce a new device leasing programme, called Apple Upgrade, tomorrow (Tuesday). According to a seasoned journalist, it is expected to cover most of the iPhone, iPad, Mac, and Apple Watch models in the company's portfolio. It will reportedly be available only in the US, allowing customers to lease an iPhone or Apple Watch for 24 months.

Apple Upgrade Programme Features, Eligibility

In the latest edition of the Power On newsletter, Bloomberg's Mark Gurman claimed that Apple Upgrade will launch in the US on Tuesday. It will reportedly be positioned as a new way of acquiring Apple devices without purchasing them outright. Customers are expected to be offered devices through Apple's online and physical retail stores, with Klarna serving as its financial partner.

The Apple Upgrade programme is expected to cover most of Apple's major hardware lineup, including popular iPhone, iPad, Mac, and Apple Watch models. The journalist, however, believes that there might be a few exclusions. For example, the Apple Watch SE, entry-level iPad, iPhone 16, and MacBook Neo could be ineligible for the programme. Further, business and education purchases may be excluded as well.

The standard leasing period is said to be 24 months for iPhone and Apple Watch models and 36 months for Macs and iPads. During the lease, customers will reportedly have the option of paying off the Apple device early, switching to a newer model before the period ends, returning the device after the term is ended, or paying an additional fee to retain the Apple device.

Following the introduction of the Apple Upgrade programme, the Cupertino-based tech giant is expected to sunset its iPhone Upgrade programme. But there will be differences. To begin with, the existing programme is backed by Citizens Bank, whereas the upcoming leasing initiative has Klarna as the financial partner.

Secondly, the current programme bundles AppleCare+ into the monthly payment. However, the Apple Upgrade programme won't reportedly include the protection plan. Thus, customers may need to purchase AppleCare+ separately for additional coverage.

Gurman said Apple will stop accepting new enrolments for the iPhone Upgrade programme beginning July 28, when the Apple Upgrade programme goes live. Existing members, however, are expected to be allowed to continue with their current plans "for the time being."