Apple has launched a new system for accessing its flagship products without having to pay the full price upfront. Called Apple Upgrade, it's a leasing program that covers iPhones, Apple Watches, Macs, and iPads. Already active in the United States, the initiative comes in partnership with the financial platform Klarna and replaces the previous iPhone upgrade plan, now expanding the offering to more devices.
The Cupertino company has confirmed that the service works like a traditional lease: the user pays a monthly fee for a fixed period and, at the end, must decide whether to return the device, purchase it by paying an additional amount, or exchange it for a newer model . It is not an installment purchase, but a rental agreement in which ownership of the device never passes to the customer unless they pay the final amount stipulated in the contract.
What is Apple Upgrade and how does it work?
Payment is made through Klarna, which owns the device for the duration of the rental. If the user accumulates three unpaid installments, Klarna can cancel the contract and demand the outstanding balance in a lump sum . Apple has ruled out the existence of a "restricted mode" that blocks phone functions for non-payment, but warns that any damage to the device is the customer's responsibility, therefore recommending purchasing AppleCare in conjunction with the rental.
Prices, deadlines and conditions
Monthly payments vary depending on the device and contract length. For iPhone and Apple Watch, 12- or 24-month contracts are available, with prices starting at $17,99 per month for iPhone and $11,99 for Apple Watch . For Mac and iPad, contracts are 24- or 36-month, with payments starting at $24,99 for Mac and $11,99 for iPad. Apple gives the example of a 256GB iPhone 17 Pro: its monthly payment would be $45,99 for 12 months or $31,99 for 24 months, excluding taxes and trade-in discounts.
Users can reduce their monthly payment by trading in their current device through Apple Trade-In, though this discount only applies during the initial contract. If they upgrade to a new model at the end of the term, they cannot use another trade-in on the new contract . Additionally, those who pay with Apple Card receive 3% daily cashback, a benefit limited to the US market. Early termination of the lease incurs "substantial" fees that Apple does not publicly disclose, and which depend on the specific terms with Klarna.
Models, exclusion and perspectives in Spain
Not all Apple devices are included in the program. Entry-level models such as the iPhone 16, iPhone 16 Plus, Apple Watch SE, MacBook Neo, Mac mini, iPad with A16 chip, and Studio Display are excluded. Available devices include the entire iPhone 17 lineup, Apple Watch Series 11 and Ultra 3, MacBook Air M5, MacBook Pro, iMac, and Mac Studio, as well as iPad Air, Pro, and mini . Apple Upgrade cannot be purchased through educational or corporate channels, as these already have their own financing agreements.
For now, Apple Upgrade remains exclusive to the United States, and the company has not announced a date for its potential launch in Spain or the rest of Europe. European consumer protection regulations regarding credit are stricter , which could delay or modify the model if it is eventually exported. Even so, the program directly addresses the rising cost of Apple devices, especially due to increased component prices, and aligns with the profile of users who upgrade their devices every two years. If the program is successful in the United States, it wouldn't be surprising to see it launch in other markets in the coming quarters.
Starting today, Apple Upgrade replaces the iPhone Upgrade Program and iPhone installment plans in the United States. Customers already enrolled in the old program can migrate to the new one if they meet the requirements, finance with an Apple Card, purchase the device outright, or use carrier financing. At the end of the contract, users have up to six months to decide whether to return, buy, or upgrade the device , although monthly payments may increase during this grace period, especially if a trade-in discount was applied that is no longer valid. In short, leasing iPhones, Macs, iPads, and Apple Watches is now a reality across the Atlantic, and only time will tell if it will cross the pond.