Apple Launches Device Rental Service with Klarna, Starting July 28; KLAR Stock Surges 11%

According to Bloomberg, on July 21, Apple announced the launch of Apple Upgrade, a device rental service starting July 28, in partnership with fintech company Klarna. The service will be available initially in the U.S. through Apple retail stores and the company's website, covering iPhone, Mac, iPad, and Apple Watch with rental periods of 24 months for iPhones and Apple Watches, or 36 months for Mac and iPad devices.

Klarna will provide financing for the program. Following the announcement, Klarna's stock price surged 11% to $20.78, while Apple's stock remained largely unchanged. Under Apple Upgrade, users can pay off devices early, upgrade to newer models, extend rental periods, or return devices at contract end through soft credit checks that do not affect credit scores.