Klarna's stock got a boost after they announced a strategic partnership with Apple to launch a new device leasing program called Apple Upgrade, which Klarna will back. The service is set to start in the U.S. on July 28 and will include most iPhone, Mac, iPad, and Apple Watch models. Apple's share price also moved up on the news from Bloomberg.
Apple Upgrade will work like a subscription, letting customers make regular payments, keep the device when the lease ends, or upgrade to newer models. Lease terms are 24 months for iPhones and Apple Watches and 36 months for Macs and iPads. It'll be available through both Apple Stores and Apple's online platform.
This move comes after Apple reportedly scrapped its own plans for an in-house hardware subscription service back in 2024. By partnering with Klarna for the financing, Apple can offer more flexible payment options without having to carry the related credit risk on its own books.
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