Apple has launched a new device leasing program in the United States, partnering with fintech firm Klarna to offer consumers a subscription-based alternative to outright purchases.
The initiative, branded as 'Apple Upgrade,' allows users to lease iPhones and other devices, effectively lowering the upfront cost barrier for customers.
Earlier this month, the company raised prices on Mac and iPad products by up to 25% due to persistent memory chip shortages, a decision that weighed on investor sentiment and contributed to a sharp decline in shares.
The move comes as Apple navigates a challenging environment for its hardware business.
Earlier this month, the company raised prices on Mac and iPad products by up to 25% due to persistent memory chip shortages, a decision that weighed on investor sentiment and contributed to a sharp decline in shares. The new leasing program is designed to mitigate the impact of these higher prices by spreading costs over time, thereby sustaining demand for the company's premium devices.
Klarna shares rose following the announcement of the strategic partnership, reflecting market optimism about the fintech lender's deepening integration with Apple's ecosystem.
The collaboration underscores Apple's strategy to diversify its revenue streams beyond one-time hardware sales, tapping into the growing consumer preference for subscription services.