iPhone Entering 'Subscription' Era… '2-Year Rental' Service to Launch

Apple is preparing to introduce a device rental program called "Apple Upgrade," Bloomberg reported on the 21st (local time).

This is evaluated as one of the biggest changes in Apple's sales method.

Sources reported that Apple will launch "Apple Upgrade" in the United States on the 28th, with most iPhone, Mac, iPad, and Apple Watch models eligible.

Apple is known to have partnered with buy-now-pay-later company Klarna Group for this initiative.

The rental period is 24 months for iPhones and Apple Watches, and 36 months for Macs and iPads.

It operates in a manner similar to a subscription system.

During the contract period, users can pay off the device balance early or upgrade to a new model.

Upon the expiration of the contract period, users can either own or return the device.

Apple is reportedly planning to promote the fact that rentals feature lower monthly payments compared to traditional installment purchases.

To introduce "Apple Upgrade," Apple is suspending new sign-ups for its existing "iPhone Upgrade" program and regular installment programs.

"Apple Upgrade" comes just weeks after Apple raised the prices of Macs and iPads by hundreds of dollars in response to memory shortages.

Industry observers speculate that Apple will also raise iPhone model prices when it releases new iPhone models in September.

Although Apple initially considered an in-house subscription program, partnering with an external company allows it to offer a new purchasing option without shouldering financial burdens.
※ Please note: This article was translated by AI and may contain errors.