Apple launches Klarna-backed hardware leasing from $11.99/month

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Credit: Aamir Siddiqui / Android Authority

TL;DR

Apple has officially launched Apple Upgrade in the US: a Klarna-backed hardware leasing program that replaces its legacy iPhone Upgrade Program and standard installment plans.

The Apple Upgrade program offers 12-to-36-month lease terms starting at $11.99/month across iPhones, Macs, iPads, and Apple Watches, though entry-level models like the base iPhone 16, iPad, MacBook Neo, and Apple Watch SE are excluded.

Given global RAM shortages and rising hardware prices, first-party leasing could be the flexible option users need if they want to own the latest flagships without paying high upfront costs.

As soaring component costs push smartphone prices to record highs, Apple is shifting its retail playbook to make high-end hardware feel more manageable again. Following early reports that the Cupertino giant was planning to pivot toward hardware leasing , Apple has officially launched “Apple Upgrade” in the United States. Powered by Klarna, the program completely replaces its legacy iPhone Upgrade Program and standard installment financing, while expanding subscriptions to Macs, iPads, and Apple Watches.

According to Apple’s press release , the Apple Upgrade program offers 12- and 24-month terms for iPhones (starting at $17.99/month) and Apple Watches ($11.99/month), alongside 24- and 36-month options for Macs ($24.99/month) and iPads ($11.99/month). Applicants undergo a soft credit check through Klarna, can apply trade-in credits to lower monthly payments, and earn 3% Daily Cash using Apple Card.