# Changes in Apple's New Phone Upgrade Plan AppleCare no longer included: Details and cost comparison of the new upgrade program - **Source:** [Daring Fireball](https://brifing.si/source/bbc604d1-4212-4e70-9dbd-e291115f1f22) - **Published:** 2026-08-01 - **Original article:** - **On Brifing:** https://brifing.si/s/cf22753f-c3bd-47db-ba91-b09977105d3f ## Benefits of the Old Program Apple's previous iPhone Upgrade Program offered attractive benefits to users. Customers could own a new iPhone with a 24-month, 0% interest loan. When upgrading to a new model each year, remaining payments were forgiven. The program's biggest advantage was the inclusion of AppleCare+ coverage. This provided significant savings, especially for users prone to dropping their phones. ## New Leasing Model Apple has transitioned from a credit system to a leasing model in its new upgrade plan. The monthly payment for an iPhone 17 Pro (256GB) dropped to $45.99. After the 12-month lease period, users can return or purchase the phone. While seemingly cheaper at first glance, the major drawback is that AppleCare+ is no longer included. Adding insurance increases the monthly cost by $13.99. ## Cost Comparison A detailed cost analysis reveals differences between the old and new systems. The annual cost for an iPhone 17 Pro was $684 under the old system, compared to $552 with the new one. However, adding AppleCare+ brings the new system's annual cost to $720. This shows the old system was actually more advantageous. Apple's new policy means extra costs for customers. ## Importance of AppleCare+ The removal of AppleCare+ from the new plan is a significant change. Previously included, this coverage protected against expensive repairs like screen replacements. Without insurance, users now face high repair costs for accidental damage. While Apple products are durable, accidents can happen. This change may lead to higher long-term costs for users. ## User Reactions Apple customers have mixed reactions to the new upgrade plan. Some appreciate lower monthly payments, while others are disappointed by AppleCare+'s exclusion. Frequent upgraders particularly miss the old system's benefits. How this decision affects customer satisfaction remains to be seen. Apple might reconsider its policy based on feedback. ## Market Strategy Apple's new leasing model reflects a shift in market strategy. By lowering monthly payments, Apple aims to attract more customers while shifting insurance costs to users. This move appears to protect profit margins. However, experts warn it could negatively impact customer loyalty. In the competitive smartphone market, this is a risky strategy. ## Alternative Options Dissatisfied users have alternatives to Apple's new plan. Carrier installment plans sometimes offer better deals. The used phone market also provides affordable iPhone options. Consumers should compare annual costs to find the best solution. Apple's changes may prompt more users to explore alternatives. ## Future Implications This change in Apple's upgrade program could mark a turning point in customer relations. While boosting short-term revenue, it may decrease long-term satisfaction. Loyal Apple users might react negatively to this decision. In a competitive market, there's risk of customers switching brands. Whether Apple revises this policy will become clear in coming months. ## Sources covering this story - https://randsinrepose.com/archives/the-apple-upgrade-situation/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._