Apple launches leasing that blocks iPhone apps on missed payments

Apple is preparing to roll out a new leasing service, dubbed “Apple Upgrade,” that will let customers rent iPhones, Macs, iPads and Apple Watches for 24‑ to 36‑month periods. Subscribers will pay a reduced monthly fee and, at the end of the term, may choose to keep the device, return it or upgrade to a newer model. Bloomberg reports the program could launch in the United States as early as 28 July.

The service includes a technical enforcement layer built into iOS 27 called “App Managed Features.” If a user falls behind on payments, the device will be placed in a Restricted Mode that limits functionality to core apps such as Phone, Settings and the App Store, while disabling most third‑party applications. A complementary “Partner Finance Lock” will prevent the device from being reset, resold or dismantled until the debt is settled.