Apple launches ‘Upgrade’ device-leasing plan with Klarna
Apple's new leasing program covers iPhone, Watch, Mac and iPad from $11.99/month via Klarna.
In Brief
- Apple launched a leasing program, Apple Upgrade, with Klarna.
- It covers iPhone, Apple Watch, Mac and iPad with monthly payments from $11.99.
- Terms run one or two years, with upgrade options at the end.
Apple is introducing a new leasing program in partnership with the ‘buy now, pay later’ service Klarna, giving eligible customers the option to pay for Apple devices through monthly installments, the tech giant announced on Tuesday. The program is available for the iPhone, Apple Watch, Mac, and iPad on the Apple Store online, in the Apple Store app, and at Apple Store locations in the United States, according to TechCrunch. According to TechCrunch,
Leasing prices start at $17.99 per month for iPhone, $11.99 per month for Apple Watch, $24.99 per month for Mac, and $11.99 per month for iPad. Apple Upgrade offers one- and two-year leasing options for iPhone and Apple Watch, with upgrade paths built in.
The move extends Apple’s long-standing habit of lowering the upfront cost of its hardware. Where the iPhone Upgrade Program once spread purchases across carriers and ownership, this leasing model leans on Klarna’s financing and keeps users inside Apple’s ecosystem.
What Apple Upgrade offers
Apple Upgrade lets customers lease current hardware rather than buy it, with the flexibility to step up to newer models when the term ends. For iPhone and Apple Watch, one- and two-year terms are available; pricing begins at $11.99 a month for the smaller devices.
The Klarna partnership handles the financing mechanics, letting Apple present a familiar monthly price without building its own lending rails. It is a continuation of Apple’s strategy of making flagship devices feel accessible.
Leasing also keeps the upgrade funnel warm: users on a term are natural candidates to renew, and Apple benefits from a steadier hardware replacement cycle than outright ownership encourages.
Why Apple is partnering with Klarna
Klarna brings installment infrastructure and a large existing user base comfortable with deferred payments. For Apple, the arrangement adds a financing option without taking on credit risk directly.
It also taps a broader consumer shift toward access over ownership, especially among younger buyers wary of four-figure upfront costs. Leasing reframes a $1,000 phone as ‘from $17.99 a month,’ a message that sells.
The arrangement is not without critics: consumer advocates warn that easy monthly payments can mask total cost. Apple’s bet is that convenience wins, and that keeping users in the ecosystem beats a one-time sale.
Related coverage: Apple overtakes Nvidia as most valuable · Tech-stock AI-spending skepticism
FAQ
What is Apple Upgrade?
A device-leasing program, built with Klarna, covering iPhone, Apple Watch, Mac, and iPad.
How much does it cost?
From $17.99/month for iPhone, $11.99 for Apple Watch, $24.99 for Mac, and $11.99 for iPad.
What are the terms?
One- and two-year leasing options for iPhone and Apple Watch, with upgrade paths at the end.
