WEB DESK: Apple has quietly dropped plans to launch hardware subscription service that would have made upgrading to a newer iPhone model each year as easy as subscribing to an app.
According to Bloomberg, the project, which was designed to simplify iPhone ownership, has now been scrapped.
The service was originally expected to roll out by the end of 2022 but faced multiple delays, pushing it into 2023 due to technical issues and regulatory roadblocks.
Here’s how it was supposed to work: instead of buying an iPhone outright or committing to an installment plan you’d pay a monthly fee through your Apple account. In return, you could swap your iPhone for the latest model each year—keeping your device fresh without the upfront cost.
Much like Apple’s now-cancelled Apple Pay Later programme, this subscription service would have used Apple’s own financial systems, with the company providing the loans directly.
Earlier this year, Apple tested the service internally with some of its staff involving teams working on App Store billing and the online store.
This decision comes after Apple also shut down Apple Pay Later, which allowed users to split payments over six weeks without interest or fees. Apple is now working with partners like Affirm and Klarna for third-party financing through Apple Pay, which was introduced with iOS 18.
Apple still offers the iPhone Upgrade Programme which lets you spread payments over two years with an option to upgrade after one year backed by Citizens Bank.
You can also finance your iPhone through Apple Card Monthly Installments, giving you a few different ways to manage the cost.
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