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Business Insider·3 min read·medium

Apple is giving its products the car-lease treatment after hiking prices

Apple is giving its products the car-lease treatment after hiking prices
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Apple has launched a new leasing program called 'Apple Upgrade' in partnership with Klarna, allowing customers to lease devices for lower monthly payments. This move comes as the company faces rising hardware costs and consumers holding onto devices for longer periods.

Why it matters

The shift toward leasing models in consumer electronics reflects broader economic pressures and changing consumer spending habits in the tech sector.

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Apple is getting into the leasing business. Michael M. Santiago/Getty Images Apple's new leasing program offers access to its products via monthly payments lower than traditional financing to own. The program — called Apple Upgrade — acts like a car lease. It runs via the BNPL platform, Klarna. The new financing option arrives in the wake of Apple hiking hardware prices as memory costs increase due to a shortage. Apple has a new way to lower the monthly cost of financing its devices: Don't buy them, lease them. On Tuesday, the company announced a new program, called Apple Upgrade, in partnership with the buy now, pay later platform Klarna. It's like a car lease, just for new tech: The new program lets customers lease an iPhone for a monthly payment rather than financing the full purchase price.

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