"Breaking Through Chipflation"... Samsung Sells Used Phones, Apple Rents Out iPhones

As chipflation, driven by the prolonged rise of semiconductor prices, continues, pressure to raise prices for smartphones, PCs and laptops is mounting. The IT industry is seeking to diversify its sales methods. It is expanding sales channels, including subscription plans for devices and used-product sales, in an effort to find a way out of the demand slump.
According to industry sources on the 29th, Apple has launched "Apple Upgrade" in the United States, a rental program for its IT devices that runs for one to three years. By paying a fixed monthly fee, customers can use iPads, Mac computers and Apple Watches, as well as all iPhone models except the Apple iPhone 16. iPhones and Apple Watches can be rented for 12 or 24 months, while Macs and iPads are available for 24 or 36 months. Multiple devices can also be rented. The monthly starting rental fee is $17.99 for iPhones, about 26,000 won, $11.99 for iPads and Apple Watches, and $24.99 for Macs, depending on the model.
For top-tier models, the rental fees are set at $31.99 for the iPhone 17 Pro, $24.99 for the iPad Pro and Apple Watch Ultra, and $38.99 for the MacBook Pro. When the rental period ends, customers can choose to upgrade to the latest device, buy the rented product by paying an additional amount, or return the device. Apple’s launch of the device rental program appears to be the result of a new sales strategy aimed at easing the burden on consumers. The move also reflects concerns that consumers are tightening their wallets as soaring prices for components such as DRAM and NAND flash memory are being passed on to products. In June, Apple raised prices for its MacBook and iPad lineup by $100 to $300 after struggling to absorb higher costs.
Samsung Electronics is accelerating its push into the used-device market. Its "certified used smartphone" program, which sells top-grade used phones that Samsung has directly quality-tested at prices 15% to 30% lower than new models, is now available in South Korea, the United States, France, the United Kingdom and Germany. The company is aiming to actively target consumers who are turning to cheaper used phones as new-device prices rise at an unprecedented pace.
[email protected] Jang Min-kwon Reporter