Apple to launch 'Apple Upgrade' device leasing program to boost sales: Report

Apple is reportedly preparing to launch a new device leasing programme called Apple Upgrade in the US on July 28, as the company looks to reinvigorate hardware sales, according to Bloomberg. The initiative comes after Apple raised prices across several product categories, including iPads, MacBooks and other devices, while keeping iPhone prices unchanged despite soaring memory and storage chip costs driven by the AI industry's data centre expansion.

According to Reuters, Apple plans to position the programme as a lower-cost alternative to its existing financing options by offering reduced monthly payments.

To pave the way for Apple Upgrade, the company is expected to stop accepting new enrolments for its current iPhone Upgrade Program and standard financing plans. Unlike the existing iPhone Upgrade Program, the new service will not include AppleCare+. It will also exclude select devices, including the Apple Watch SE, the entry-level iPad, the iPhone 16, and the MacBook Neo. Business and education purchases will also not be eligible, Bloomberg reported.

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According to Bloomberg, iPhone and Apple Watch leases under the new programme will run for 24 months, while Mac and iPad leases will extend up to 36 months. At the end of the lease term, customers will have the option to either keep or return their device, with the flexibility to upgrade to a newer model. Apple already offers an iPhone Upgrade Program, but it reportedly plans to stop accepting new customer enrolments to make way for the broader and more inclusive Apple Upgrade programme.

The new leasing initiative comes amid ongoing industry-wide supply chain challenges, particularly rising memory and storage chip costs driven by the AI industry's rapid data centre expansion and recent geopolitical tensions. Apple has already raised prices across several product categories, making hardware upgrades more expensive. Against this backdrop, the new programme is expected to offer customers a more affordable path to upgrading their devices.

As Apple revamps its financing strategy, it is worth looking at how different product categories currently contribute to the company's global market share by revenue—and how the new leasing programme could influence that mix in the future.

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The data suggests Apple strengthened its revenue share across its biggest product categories in Q1 2026, with iPad posting the largest gain, followed by iPhone and Apple Watch. In contrast, AirPods and MacBook saw their revenue share decline year over year.