Core Viewpoint - Enhanced carrier trade-in deals and extended financing plans are positively impacting Apple's iPhone upgrade cycle, particularly for the iPhone 17 model [1][2][3] Carrier Promotions - Carriers are providing approximately $100 more in subsidies for new iPhones this year, making iPhones more affordable through bundled device financing with wireless service [1][2] - Buyers can spread payments over 24 to 36 months, with some plans allowing the phone to be free with an eligible trade-in [2] Pricing and Subsidies - The entry price for the iPhone 17 Pro has increased to $1,099 for 256GB, compared to the iPhone 16 Pro's $999 for 128GB, with subsidies offsetting this price increase [3] - T-Mobile reports double-digit growth in iPhone activations among both new and existing customers [3] Upgrade Activity - Verizon's commentary indicates strong upgrade activity within its customer base, which may continue through the iPhone launch window [4] - Current lead times for iPhone 17 shipments are longer compared to last year, while Pro and Pro Max models have similar timing to the previous year [4] Trade-in Offers - Carriers are encouraging upgrades on a two-to-four-year cycle, with trade-in credits reaching up to $1,100 for newer models, specifically iPhone 13 and later [5] - All three major carriers are accepting devices in any condition, including those that are cracked or non-working [5] Upfront Costs - Customers still incur upfront costs, including an activation fee of $35–$40 and taxes based on the full retail price of the phone [6] - Initial outlays for an iPhone 17 are estimated at approximately $229–$234, while an iPhone 17 Pro Max would cost around $380–$385 using the highest available trade-in credits [6] Carrier Terms - Buyers must switch to specific unlimited plans, which may be more expensive than basic or lower-tier options, and promotional phone credits are applied monthly over the installment term [7] - The typical installment terms are 24 months at T-Mobile and 36 months at Verizon and AT&T [7]
Carrier Incentives Could Spike Apple iPhone 17 Sales, Says Analyst