The story

Apple is launching a leasing program called Apple Upgrade on July 28, backed by Klarna, according to Bloomberg. The program will offer 24-month leases for iPhones and Apple Watches, and 36-month leases for iPads and Macs. Customers can pay off the device early, upgrade to a new model, or return it at the end of the term, with some transactions incurring additional fees. Users will need approval via a soft credit check.

The program will replace Apple's existing iPhone Upgrade Program, which has been available since 2015. Unlike the current program, Apple Upgrade will not include AppleCare. Entry-level devices including the iPhone 16, base iPad, Apple Watch SE, and MacBook Neo are not eligible for the new program. Education and Business purchases are also excluded.

The launch follows Apple's June 25 price increases across Macs, iPads, home devices and Vision Pro. Apple said it had never seen a component price increase this much, this quickly, according to CNBC and TheStreet. The 13-inch MacBook Air moved to $1,299 from $1,099. Apple shares closed more than 6% lower that session, the worst drop since April 2025. The iPhone 18 Pro is expected to see a $100 to $200 price rise over the iPhone 17 Pro when it launches in September.