Apple Retail Stores will soon allow customers to purchase an iPhone through U.S. carrier early upgrade programs including AT&T Next, Verizon Edge, and T-Mobile Jump, reports 9to5Mac. Apple is aiming to implement the new initiative right before the launch of the iPhone 6 this fall, as both Genius Bar workers and store employees will receive training on the program from Sunday, August 10 to Thursday, August 28.

iphone5s5c
Currently, Apple Store customers are only limited to purchasing an iPhone through a regular two-year contract at subsidized pricing or unlocked at full-price. All three early upgrade programs allow customers to upgrade their phones more frequently as the complete cost of a device is split into monthly payments which are rolled into the standard bill each month. Verizon and T-Mobile allow customers to upgrade their phones twice every year after six months of payments, while AT&T customers can upgrade once every 12 months after a year of payments.

The move also comes after Apple Stores began allowing customers to add pre-paid or month-to-month plans when purchasing full-priced, unlocked iPhones in June. Apple CEO Tim Cook noted last year that 80 percent of iPhones are sold at third-party locations while 20 percent are sold by Apple, adding that it was a figure he would like to improve. Apple has launched a number of other programs in its retail store to boost in-store sales, which included an event this past May encouraging iPhone 4 and 4s owners to update to a newer device.

Related Forum: iPhone

Top Rated Comments

Zadigre Avatar
134 months ago
My thoughts exactly! Was debating if I was going to join the next program or do the $250 early upgrade. Only wanted to buy at Apple because its easier to get a replacement new device incase of a DOA or defective unit.

It does not matter where you buy your iPhone ...you get the same service if you go to the Apple store directly.
Score: 2 Votes (Like | Disagree)
bpcookson Avatar
134 months ago
I'm on AT&T. I recently saved about $30 for switching from a 4GB plan to a 10GB plan that dropped my per-phone fee from $40 to $15 (we have 2 phones). The catch is this: if I buy my next phone at a subsidized cost, the per-phone fee jumps back to $40.

Basically, what they did was offer me Next pricing without signing up for the Next service and I had to increase my data plan to get it. Now I have to enroll in Next for my subsequent iPhone or otherwise face a bill that swings from a cost savings to big cost increase. I'm glad Apple will be offering the Next option in-store.

So I have the following options:
1. Buy an iPhone 6 at subsidy.
2. Buy an iPhone 6 unlocked at full price.
3. Buy an iPhone 6 under a new Next plan.

I've been debating these loosely in my head ever since switching to the 10GB plan, but never wrote anything down. Doing so here will help me make my decision and hopefully also benefit others in the same boat. So let's do some math. I have a 64GB phone now but will consider getting a 32GB phone next time, and of course there are rumors that 32 will be the new 16, so I might as well crunch numbers for all 3 price tiers.

Assumptions:
* Numbers are for 1 phone.
* "1 Year" or "2 Years" assumes either selling or turning in your phone as applicable.
* Resale values are conservative (i.e. $100, $200, $300 for a 2yr old iPhone). YMMV.
* Purchasing at subsidy and upgrading at 1 Year incurs a $250 upgrade fee.

1. Subsidy - Includes a $450 discount; raises my monthly bill by $25
Size - 1 Year - 2 Years
16GB - 780 - 1060
32GB - 780 - 1060
64GB - 780 - 1060

2. Unlocked - All costs are up front; bill remains the same
Size - 1 Year - 2 Years
16GB - 680 - 910
32GB - 680 - 910
64GB - 680 - 910

3. Next - Cost of phone split across 24 payments at 0% interest; bill remains the same
Size - 1 Year - 2 Years
16GB - 505 - 910
32GB - 555 - 910
64GB - 605 - 910

If getting a new iPhone every year is important to you, the Next Plan appears to be a no-brainer. If you don't mind waiting two years between phones, well... it seems like the Next Plan is still a no-brainer because free financing is way better than parting with all your cash up front.

I'm rather surprised by these results, so I feel I must have missed something. By all means, please let me know if you can find that I've done something wrong. Here's a link to the math:
https://dl.dropboxusercontent.com/u/28700580/iPhone%20Purchase%20Options.xlsx
Score: 1 Votes (Like | Disagree)
lolkthxbai Avatar
134 months ago
It does not matter where you buy your iPhone ...you get the same service if you go to the Apple store directly.

If you mean service as in "cell service" then yes, it's the same. However, Apple's customer service is above that of a carrier store.
Score: 1 Votes (Like | Disagree)

Popular Stories

AirPods Pro Firmware Feature

Apple Releases Firmware Updates for AirPods Pro 2 and AirPods 4

Monday November 11, 2024 11:28 am PST by
Apple today released firmware updates for both AirPods 4 models (version number 7B20) and the AirPods Pro 2 with both Lightning and USB-C charging cases (version number 7B21). All of these AirPods models were previously on firmware version 7B19. It is not immediately clear what new features or changes are included in firmware versions 7B20 and 7B21, but we will update this story if we find...
General Final Cut Pro Feature

Apple Likely to Announce Final Cut Pro Update This Week With These New Features

Sunday November 10, 2024 12:13 pm PST by
In its announcement video for the new Mac mini last month, Apple teased an "upcoming" version of Final Cut Pro for the Mac. Apple will likely announce the update during the annual Final Cut Pro Creative Summit, which begins this Wednesday. The conference is held in association with Apple, and attendees will be visiting Apple Park on the first day. Apple already teased four new features...
iphone 6 thickness

iPhone 17 'Air' May Not Be Much Thinner Than iPhone 6

Monday November 11, 2024 5:18 am PST by
Next year's iPhone 17 "Air" model may not be as thin as Apple planned, according to a rumor originating in Korea. According to the news aggregator account "yeux1122" on Naver, citing industry sources, Apple has run into problems making the new iPhone 17 model sufficiently thin. The device's reduced thickness is apparently dependent on manufacturing a battery with a thinner substrate, but...
new mac holiday

The Best Early Black Friday Mac Deals

Monday November 11, 2024 7:45 am PST by
Black Friday is getting closer, and prices on MacBook Pro, MacBook Air, iMac, and Mac mini computers have started to drop as the shopping holiday nears. These deals include the latest models of the M4 MacBook Pro and iMac. Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a purchase, we may receive a small payment, which helps us keep the site...
best buy holiday

Best Buy Reveals Black Friday Plans With Sitewide Sales Available Now

Friday November 8, 2024 10:05 am PST by
Black Friday sales are continuing today with Best Buy kicking off early Black Friday deals that will last for the next few days. Similar to other retailers, Best Buy's early Black Friday event includes sitewide savings on Apple products, headphones, TVs, monitors, video games, and more. Note: MacRumors is an affiliate partner with Best Buy. When you click a link and make a purchase, we may...
iOS 18 2 Share Item Location

Apple Announces iOS 18.2's New AirTag Location Sharing Feature Coming to These 15+ Airlines

Monday November 11, 2024 8:18 am PST by
Last week, we reported on a new feature in the Find My app on the iOS 18.2 beta that allows you to temporarily share an AirTag's location with a trusted person, and soon with airlines. Apple today announced the feature, providing more details. Apple said more than 15 airlines will offer the feature "in the coming months," including Delta, United, Air Canada, British Airways, Virgin Atlantic, ...
iOS 18

Here's Everything New in iOS 18.2 Beta 3

Monday November 11, 2024 4:53 pm PST by
Apple seeded the third betas of iOS 18.2 and iPadOS 18.2 to developers for testing today. While the third betas of each update are minor relative to the first two betas, there are still a handful of changes across the Photos app, TV app, and more. A corresponding iOS 18.2 public beta with these changes will likely be released later this week, and Apple previously confirmed that the software...
Next Generation CarPlay Porsche 1

Apple Continues to Prepare for Next-Generation CarPlay in iOS 18.2 Beta

Monday November 11, 2024 12:42 pm PST by
It has been nearly two and a half years since Apple first previewed next-generation CarPlay at WWDC 2022, and it has still yet to become available in any vehicles. Fortunately, though, Apple continues to work on the software system. Within the code for the third beta of iOS 18.2 seeded to developers today, there are redesigned "Climate" and "Media" app icons for next-generation CarPlay,...