posted in Technology

Should you still buy your next smartphone — or subscribe to it instead? Apple, Samsung … are betting that leasing, subscriptions, and guaranteed buyback programs can make upgrading more attractive.

techcrunch.com/2026/08/01/should-you-still-buy-your-next-smartphone-or-subscribe-to-it-instead/
TechCrunchShould you still buy your next smartphone — or subscribe to it instead? | TechCrunchApple's new Upgrade program is the latest sign that smartphone ownership is changing.
enPage

Replying to @⁨PixTupy@lemmy.ml⁩

Even without the FOMO, some people just want a working device.

It’s why leasing cars is attractive to some. They don’t care about the specs, they want one that works “well” and looks nice and are willing to give up nebulous "ownership"of a device that they don’t know or care how it works, that they can’t repair, so they can stop thinking about their choice and just always have a one available.

Replying to @⁨PineRune@lemmy.world⁩

I bought my Samsung for $240 CAD, brand new, not refurbished.

I can’t tell the difference from an expensive phone. Less camera lens? I don’t understand why other phones are $1000 to $2000. Processor speed? On a phone? I’m not running games on this thing except online chess. It plays YouTube without ads. It makes calls and sends texts.

I just don’t get it.

Replying to @⁨eicker@lemmy.world⁩

I will not rent critical items.

There has been a large push to enter a subscription for eyeglasses, the large firms here keep pushing and pushing to rent glasses.

Fuck no, I refuse to have my eyesight be dependent on having to keep paying.

Same for music, I buy all my music through iTunes, I have never used Spotify, I refuse to be put in a situation where I am in financial trouble and I loose access to my music.

This is the same crap, I need a phone to be an active member of modern society, I will not rent that access.

Replying to @⁨eicker@lemmy.world⁩

With smartphones current prices and componants becoming more expensive they are realizing not a lot of people will buy a smartphone costing more than 1500 dollars. Especially when hardware is now good enough and people are starting to try to keep their phone as long as possible.

Making you rent your phone allow to hide how much it’s going to cost you and ensure them a steady cash income.

Replying to @⁨eicker@lemmy.world⁩

Let’s be honest here: A smartphone costs the same to develop, produce and so on, regardless of if you simply buy it or rent it. The companies need their profit, so they will not start renting you a phone when it is more profitable to sell it to you. It should make you suspicious that they want you to rent, because that kind of tells you that they will make more profit from renting than selling. That means that you will pay more for your phone in the long run without owning it.

Replying to @⁨JensSpahnpasta@feddit.org⁩

The reason this is happening is because the cost of DRAM is ballooning the prices of all electronics and they are fully aware that people can’t pay the new higher prices even if they wanted to. Lower monthly payments is the difference between whether a lot of people buy an Apple or Samsung device at all.

I wouldn’t call this move nefarious on its own, but it is a dystopian side affect of the real problem which is DRAM price gauging.

Replying to @⁨eicker@lemmy.world⁩

No. The only innovations these days are AI. If you don’t care about that, you’ll be fine with whatever.

My iPhone is pretty current from 2024, but my Android phone from 2019 isn’t much slower or less capable. It has less storage, but it has a memory card slot. There isn’t much it can’t do that the newer iPhone can, except for generate AI slop on device.

If you need AI, they’re gonna make you pay to play. If you don’t… just chill.

Replying to @⁨eicker@lemmy.world⁩

The only thing prompting phone replacement for me was battery life. And nearly all phones have shit ability to replace batteries (for now - EU rules incoming).

I bought a Fairphone 6 with /e/OS. I’ve left Big Tech behind. And I have a phone where I can easily replace the components. I don’t want to swap devices for 4-5 years, which makes ownership far more cost effective than leasing.

Also – with leasing, what happens when the renter is done with it? E waste, just like we have today.

Replying to @⁨eicker@lemmy.world⁩

An important thing to note here is that this isn’t anything new. This is what a significant amount of people have already been doing for years through their carrier. I don’t have any statistics on hand for this, but I personally don’t know a single person who has bought their phone outright. Everyone just leases their phone through their carrier around here, and upgrades as soon as they’re allowed. Hearing people complain about their cellphone plan cost increasing or poor cell service but being unable to switch carriers until their phone is paid off is a common thing to hear, as carriers have been using their phone leasing programs as a substitute for plan contracts for awhile now.

Leasing your phone through your carrier with the ability to buy or turn it in at the end of the term has been the name of the game for a very long time. What Apple and Samsung are doing is just trying to entice you into going direct through them instead of your carrier which is actually a good thing.

If you’ve been buying your phone outright then you shouldn’t use a program like this, but if you’ve been leasing your phone through your carrier I’d actually recommend switching to just doing the same thing directly through the manufacturer since it frees you up to switch carriers whenever you want.

Replying to @⁨kuiskaaja@lemmy.ml⁩

Services as subscriptions: fine. They are ongoing agreements that require an unspecifiable amount of labor, it makes sense to pay as you go.

Subscription goods? Fuck that. If I am in posession of it and responsible for maintaining it in a specific state of operation and quality, I basically own it anyway.

Charging me monthly for a pocket-sized computer with the added stipulations that the seller gets to dictate what I’m allowed to do with it, probably installs spyware on it (on top of the OEM and OS spyware), and if I break it (or otherwise violate the terms of use) I have to buy it anyway and they still get to keep it? They’ve basically reinvented a mix of payphones and library PCs, but more invasive and more expensive

Replying to @⁨GaumBeist@lemmy.ml⁩

They’ve basically reinvented a mix of payphones and library PCs, but more invasive and more expensive

No this isn’t even the same thing. Library PC is made available to you for free (paid via taxes). Payphone was a bit a different breast, as they supposed to make phone service available at any place when before we had cellphones, although they were also available for free (you paid for making calls though).

Over here they want to remove ownership. Instead of owning a house, you rent an apartment, instead of owning a car you pay to use self driving one, instead of owning a movie or music (yes, I know) you pay for streaming service, and now you won’t even own the computer in your pocket.

Basically they want society where we don’t own anything and only pay subscription fees to live. This push toward that world is called technofeudalism. Only billionaires own things and we are just serfs at their mercy.

Replying to @⁨eicker@lemmy.world⁩

If your current plan is to buy the latest and greatest phone today, sell it in two years, and then buy a new top of the line phone, then Apple’s new lease program looks like an attractive option. They’ve priced it such that, over the course of the lease, you end up paying about the cost of purchasing the phone minus its resale value. Leasing looks convenient because it saves you from having to find a buyer.

It also keeps phones out of the secondary market, which benefits Apple. Off lease phones are used for warranty replacements, or sold as refurbished through official storefronts instead of person to person.

Replying to @⁨willington@lemmy.dbzer0.com⁩

There’s always going to be a robust used market for phones that were purchased outright, to be resold on a different cycle than every 2 years (plenty of rich people changing phones every year, and plenty of people replacing on a 3, 4, 5, or 6 year cycle). You can expect the market to basically settle on a curve where it depreciates along a predictable rate.

Leases don’t really change that, any more than leases changed the market for used cars, or even certified pre-owned by the same dealers and organized by the same manufacturers who sell new cars.

There will be times that the predefined lease terms will unexpectedly prove to be either beneficial or detrimental to the consumer. Sometimes external factors will affect the entire used market, like currency issues, or component pricing issues (imagine if RAM prices dramatically swing again for new devices in a way that affects the value of the already-sold devices out in the world), where the predefined lease prices turn into a windfall for someone. Like in 2021 or so when expiring car leases allows the lessee to buy out the car at the end of the lease for much cheaper than the car itself was worth.

It’s generally going to be a less than ideal financial decision to lease, but it also won’t collapse the used device market and it won’t be that far off the practice of selling your old phone when you buy a new one.

Replying to @⁨ragas@lemmy.ml⁩

It depends a lot on how heavily you use your phones. I’m a heavy user and my batteries degrade heavily in 2-3 years. That leads to overheating, poor performance, and of course poor battery life.

The cost of replacing a battery is high for most phones. Sometimes higher than buying a new phone at a similar level of performance.

I’m doing 1-2 battery cycles per day. A light user might go through battery cycles at a quarter of my rate, and would not have those problems.

Replying to @⁨eicker@lemmy.world⁩

Who would’ve thought consumers, in an economy propped up by an AI bubble, wouldn’t exactly be risking their financial stability for last year’s model bút with AI bloat- and spyware, or some extremely vulnerable folding party trick? Apple’s partnership with Klarna should set off alarm bells with regards to demographic being targeted; as for the intent of the buy back programs: furthering control over the second hand market. The AI circle jerk has created the perfect conditions for this anti-ownership model, and the innovatively stale industry is sparing no time to capitalize off it (Samsung for both the consumer- and enterprise segment).

Replying to @⁨eicker@lemmy.world⁩

Rent your phone so you can rent an app that'll allow you to access your internet banking and pay for all the rents, including the rental of payment services for rental paying?

No, thanks, I'll cut through this whole Rube-Goldberg machinery of "living in society", straight into applying for a leasing for my next six-feet-under wooden house instead. I'd love the view, grass and chrysanthema at my roof, buzzards as my faithful company (whether it'll be part of the legalese leasing terms or not, Mother Nature doesn't care about that, and neither do I as I'd be long gone (or should I say, long bones) at that point).

!technology@lemmy.world

Replying to @⁨eicker@lemmy.world⁩

I bet we’re 1 generation away from cheap “clones” with (pure) Linux on them.

What do people need? A A57 octo core, 8GB RAM, 256/512GB storage, and a 100€ screen…

Throw in the usual stuff (sim, gps/galileo, wifi, bt) plus maybe a card reader, swappable batteries, audio jack for us nerds out there and the craze can be done with.

300€ from china (made in eu/us for 1100€ coming next decade)…

Good or bad, I see it coming! (Just after the linux desktop 😁?)

Replying to @⁨eicker@lemmy.world⁩

I mean lots of mobile providers have been providing phones as part of their subscription model, that has going since the 2000s.

That is not convenient at all, but some folks don’t want to downplay 1000+$ and they really want an iphone or whatever.

It seems to me Apple and Samsung want to get their fair share of that (still sucks though cause its all in the “you don’t own anything”)

Replying to @⁨eicker@lemmy.world⁩

It’s time for some right-of-first-sale legislation that kills off the subscription-for-everything scam.

  1. It should be illegal for a lack of a subscription to prevent operation of something you’ve bought.

  2. Same goes for requiring connectivity.

  3. If the subscription service terminates, reverse-engineering to maintain continuing operations should be protected by law, and the manufacturer should be required to provide the specifications to the public.

  4. DRM to prevent access to subscribable features should be illegal.