iOS 27 beta code points to Apple ability to restrict leased iPhones for missed payments

Code found in the iOS 27 beta suggests Apple is developing a system that could restrict leased iPhones when customers fall behind on payments. The discovery follows a recent Bloomberg report that Apple may soon launch a new "Apple Upgrade" leasing program, allowing customers to pay for hardware through monthly installments. 9to5Mac reports: The code describes a system called App Managed Features, which allows an authorized financing or provider app to enroll an iPhone and perform ongoing status checks. If the contract is no longer in good standing, Apple's system services can place the iPhone in "Restricted Mode," which blocks access to most apps until the payment or contract issue is resolved, while keeping a small set of apps available. The fixed allowlist currently found in the iOS 27 beta includes: Accessibility Reader, App Store, Health, Magnifier, Phone, Clock, Settings, Wallet, Passwords, and the Restricted Mode interface itself. Apps that can send critical alerts, such as Messages, Home, and certain medication or safety apps, may also remain accessible. However, the provider appears to have some control over those exceptions. The code does not appear to cancel, suspend, or otherwise modify App Store subscriptions associated with blocked apps. As a result, a subscription could continue billing even while access to its app is restricted. Additionally, there isn't a fixed number of missed payments that automatically triggers the restrictions. The financing provider's app decides when to lock the device based on its own policies. Finally, the new framework also introduces a new type of activation lock called "Partner Finance Lock," which is meant to prevent users from erasing, reselling, or stripping a restricted device for parts. Read more of this story at Slashdot.

Macworld According to a Bloomberg report this week, Apple is about to change the way people buy its products. Mark Gurman reports that a new Apple Upgrade program is coming week that will allow people to lease Macs, iPhones, iPads, and other products rather than buying them outright. We don’t have much in the way of details about the new program, but some code references in the latest iOS 27 beta suggest Apple is developing a new system that will allow it to lock down certain features in the event of missed payments. As discovered by 9to5Mac, iOS 27 contains references to a new App Managed Features system that will allow authorized financial providers to perform status checks with leased devices. The references here are expected to apply to iPadOS and macOS as well. According to the code, the system will allow providers to remotely place iPhones in “Restricted Mode,” which would block access to most apps and services until payment is made. The report claims the following apps will remain available for use: Accessibility Reader App Store Health Magnifier Phone Clock Settings Wallet Passwords Notably, Safari and Messages aren’t included in the list, so it’s unclear whether access to these apps would also be restricted. Furthermore, the code references a new “Partner Finance Lock,” which is designed to prevent users from erasing, reselling, or stripping a restricted device for parts. It’s not clear whether Apple or its partners would be able to remotely lock or wipe phones for missed payments. The current iPhone Upgrade Program, which is expected to be sunsetted when the new version arrives next week, does not include these feature restrictions. The terms of the new upgrade program are somewhat unclear, but these discoveries suggest it will be treated more like a leased product than a financed one. With a lease, customers never actually own anything but have the option to buy the product once the monthly payments have been completed. Alternatively, a finance plan spreads the entire cost of the product over a period of time.