Apple Announces iPhone Upgrade Program for Annual iPhone Purchasers

Today at its "Hey Siri" special event, Apple announced a brand new program at its retail stores called the iPhone Upgrade Program. The program is designed for users who want to have the newest iPhone every year, and even comes with AppleCare+ included. Those who sign up for the program will be able to trade-in their current iPhone for a new model after 12 monthly installments are made, starting a new cycle of the program each year.

apple iphone upgrade program

Users are given an unlocked iPhone and allowed to pick from AT&T, Sprint, T-Mobile, and Verizon, allowing customers to choose their current carrier or select a new one if they "don’t have any carrier commitments." iPhone 6s users can expect to pay $32.41/month (16GB), $36.58/month (64GB), or $40.75/month (128GB) while on the service. Alternatively, those opting for the larger-screened iPhone 6s Plus will see slightly higher prices: $36.58/month (16GB), $40.75/month (64GB), or $44.91/month (128GB).

Users who are interested in using the iPhone Upgrade Program to finance a new iPhone 6s or 6s Plus can do so by making a reservation online starting at 12:01 PDT Saturday, September 12, the same day pre-orders for the smartphone go live. The reservation will allow you to hold a spot at the Apple Store of your choosing for an appointment in setting up a new iPhone 6s or 6s Plus with the Upgrade Program.

Tag: September 2015 event

Top Rated Comments

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Locoboof

41 months ago

This was a giant F.U. to AT&T... Once AT&T said you can no longer get a two year contract from apple only AT&T next.....apple shoved that down their throat today. They'll give it to you unlocked,not effecting your current contract.

Well played Apple.... I'll see you on the 12th

Rating: 11 Votes

aristobrat

41 months ago

It's disengenuous to say this isn't a lease program. Because it is.

Apple's fine print for their Yearly Upgrade program notes "Requires a 24-month installment agreement", which is exactly how AT&T's runs their Next program.

At no point during AT&T's Next program are you ever required to return your iPhone. Not in the beginning. Not in the middle. Not at the end.

With a lease, you are required to return the item at the end of the lease.

In order to get a new iPhone every year, you need to turn in the existing phone.

Not true.

In order to get a new iPhone every year, you need to pay off your installment agreement.

There are two options for doing that:

1. Pay off the remaining balance (like you would with any other bill that you receive) and keep your existing phone.
2. Turn in your existing phone.

Rating: 4 Votes

TonyC28

41 months ago

I'm having a hard time with the idea that this is anything better than subsidized phones. Either way, you are paying for a device you don't 'own'.

You are paying to eventually own the device just like any other payment plan. The only difference is you can trade in your device to pay for the remaining 12 payments after one year. You can...you don't have to, it's just an option. You can just as easily keep paying the monthly amount for months 13 through 24 and then the phone is yours free and clear.

Rating: 3 Votes

randian

41 months ago

This works better for the larger storage phones in my opinion. The difference between the 16GB and 128GB phones is ~$8/month, or $96/year. The full retail price difference is $200, but you will get far less than that on resale. The fly in the ointment is sales tax. Do you pay it all up front or over time? If over time you also avoid sales tax on the portion of the phone you haven't yet purchased when you upgrade next year.

Rating: 3 Votes

aristobrat

41 months ago

I'm having a hard time with the idea that this is anything better than subsidized phones. Either way, you are paying for a device you don't 'own'.

If you use a credit card to pay at the grocery store, do you worry about if you 'own' those groceries (or not) before your credit card balance is entirely paid off?

To me, it takes about 10 minutes worth of work (either on paper, or in a spreadsheet) to figure out the total cost of buying with a subsidy, or buying with a device installment plan. Then you know what's going to cost you least. In some cases, the subsidy is cheaper. In other cases, the device installment plan in cheaper.

I don't get what's hard about that, or why the concept of 'ownership' is suddenly important to some folks, when IMO nothing's really changed with it (in terms of phones).

Rating: 3 Votes

bradl

41 months ago

I'm sold on this if it can use your existing plan. If this is for new customers only, that's a problem.

BL.

Rating: 3 Votes

M87

41 months ago

In-store only is lamesauce.

Rating: 3 Votes

b0r3dguy

41 months ago

I wonder what the pricing will be like for the 128GB 6S Plus.

Also, I wonder when this will come to Canada.

The full details are already on Apple's website: http://www.apple.com/shop/iphone/iphone-upgrade-program

Rating: 2 Votes

Viper3773

41 months ago

So is this for a LEASE or do you OWN your iPhones??

Rating: 2 Votes

leesweet

41 months ago

I meant fully online, order and ship to my door on release day. Why the need to go to the store? Would hate to fall into some sort of back order or 4 hour lines.

And yes on your other part. My wife, mother in law and I are all on the same plan. Can I use my Credit and credit card/debit card to buy them all? Does each person have to credit check / have a CC?

I bet the whole store idea is to have people turn in the 'old' phones. Not a thing *this* year but most people every time after this will be replacing a phone. And you will need to hand over your old phone to get the new one. No way will they let you get the new one in the mail and have to police the people that don't sent the old one back promptly.

I'd like that method also, but it's a logistical nightmare. Now, how the stores are going to keep on top of it I have no idea. They better have good appointment scheduling for this... :)

Rating: 2 Votes

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