According to several reports, Apple Inc. is gearing up to launch an iPhone trade-in program in anticipation of the Sept. 10 unveiling of the iPhone 5S. The plan is for Apple to control the resale market of old iPhones by offering users a gift card for the amount their old iPhone is worth when they bring it in. They can then put that money toward an upgrade.
According to MacRumors, the program is the result of a deal with Brightstar that will give customers a way to recycle their old iPhones. Apple has reportedly sent materials to its stores in order to get employees prepared for the launch. User will be able to take their iPhone to any Apple Store and have it appraised by them and receive a gift card for its value.
CNET editor Dan Ackerman told CBS News the trade-in program will be "a little bit different" from existing buyback programs from sites like Amazon or Gazelle. He claims Apple will "probably launch this around the end of the month and really ramp it up mid-September. This would make sense as the iPhone 5S won't be unveiled until the 10th, followed by probably a week of pre orders and anticipation before customers can finally have the device in hand.
"They don't want other companies controlling this secondary market of iPhones" Ackerman said on "CBS This Morning" Wednesday. Apple has a long standing history of wanting to control the market and what happens to its older models. This will become especially important for the company once it unveils the iPhone C. The iPhone C will be a low-cost plastic backed device that the company hopes will replace older versions of the flagship smartphone on the low-end market for Apple. This means the company will want to sell more iPhone C models than it will want to refurbish and resell 4, 4S and 5 models. The trade-in program is a great way to ensure it can keep tabs on as many of the older models as possible.
Still, Ackerman urges users to check out Amazon and Gazelle in order to make sure they aren't offering better deals than Apple when the time comes to trade in your iPhone.
