Jobs’ Mob plans to introduce a trade-in program for iPhones in China in association with Foxconn.
Under the deal, people will be able to exchange older iPhones at Apple stores in China for credit against the company’s products starting March 31.
Chinese demand for larger-screen iPhones helped fuel Apple’s record profit of $18 billion in the final quarter last year.
Apple Chief Executive Tim Cook has said China is poised to overtake the United States as the company’s biggest market, and he is working to about double the number of stores in Greater China by the middle of next year.
The only problem is that most of Apple’s potential customers will have to sell a kidney, or body part to get enough cash to buy a phone.
Under the China programme, Foxconn will buy the iPhones directly, without Apple taking ownership, and repair the devices if needed before selling them on its e-commerce websites such as FLNet and on Alibaba’s online store.
Foxconn, a key Apple supplier, is also in talks to sell the older iPhones in physical stores and may take the trade-in program online in future.
Apple has a similar scheme in the US, where the company has started accepting non-Apple devices, Bloomberg reported.
Major US wireless carriers including Verizon Communications and Sprint last year offered subscribers schemes under which they could trade in their old iPhones for new ones.