The release of each new iPhone model is a big-money occasion for Apple. This year, though, buying a new iPhone may be a tough decision for consumers, with inflation and tariffs having put a strain on people’s wallets. In fact 59% of people say that tariffs and inflation will keep them from buying a new phone this year, according to a nationally representative survey conducted by WalletHub.
Depending on what features people want, they may have to shell out over $1,100 for a new device. While some people have the cash to pay for their phones upfront, others will finance their purchase—a common approach for managing the high cost.
WalletHub’s survey examined not only how the current economic environment has impacted Americans’ cell phone purchase plans, but also why people buy new phones, how essential phones are and more. Consumers looking to save money on a new cell phone purchase can also check out WalletHub’s Cell Phone Savings Calculator to crunch the numbers.
Chip Lupo, WalletHub Analyst
Key Stats
- Impact of tariffs and inflation: 59% of people say that tariffs and inflation will keep them from buying a new phone this year.
- Debt dilemma: More than 1 in 4 Americans think it is worth taking on debt to get a new iPhone.
- Too expensive: Nearly 9 in 10 Americans think iPhones are overpriced.
- Upgrade Hype Fading: Nearly 3 in 4 people think new cell phones have lost their appeal.
- Unfair pricing: 61% of Americans think cell phone plans are not fairly priced.
- Humans Beat AI: 70% of people say they trust human experts more than AI to find them the best cell phone plan.
Ask the Experts
As consumers decide whether or not they can afford to purchase a new iPhone this year, WalletHub turned to a panel of experts for further insight. Click on the pictures of the experts below to view their bios and responses to the following key questions:
- WalletHub’s survey found that 59% of Americans won’t buy a phone this year due to tariffs and inflation. What tips do you have for people who want to save as much money as possible on a new phone?
- Do you agree with the 9 in 10 Americans who say iPhones are overpriced? What do you think is a reasonable price point?
- More than 1 in 4 Americans think a new iPhone is worth going into debt for. Is it ever worth going into debt for a phone? What can people do to avoid this situation?
- Around 59% of people think Apple is a monopoly. Do you think it fits this definition, and should the government take action to prevent phone companies from being monopolies?
Ask the Experts
Professor of Marketing, Management & Marketing Department, Williamson College of Business Administration - Youngstown State University
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Professor of Marketing; Professor of Psychology (by courtesy), Marketing & Logistics - Ohio State University, Fisher College of Business
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Ph.D., Faculty Emeritus – Marketing - University of Connecticut
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Associate Professor of Economics at the Olin Business School, Washington University in St. Louis
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Ph.D., Professor of Marketing; Academic Director: MS- Data Sciences; Department Chair: MS- Management, Marketing & Management, Austin E. Cofrin School of Business - University of Wisconsin- Green Bay
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Ph.D. – Professor, Department of Marketing - University of West Georgia, Richards College of Business
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Survey Methodology
This report reflects the results of a nationally representative online survey of nearly 220 respondents.
After we collected all responses, we normalized the data by age, gender and income so the sample would reflect U.S. demographics.
Full Survey & Responses
| Do you plan on purchasing the new iPhone launching this year? | |
|---|---|
| No | 60% |
| Yes | 40% |
| Is it worth taking on debt to get a new iPhone? | |
| No | 74% |
| Yes | 26% |
| Are iPhones overpriced? | |
| Yes | 89% |
| No | 11% |
| Is Apple a monopoly? | |
| Yes | 59% |
| No | 41% |
| Will tariffs and inflation keep you from buying a new phone this year? | |
| Yes | 59% |
| No | 41% |
| Are cell phone plans fairly priced? | |
| No | 61% |
| Yes | 39% |
| Do you trust AI or human experts more to find you the best cell phone plan? | |
| Human experts | 70% |
| AI | 30% |
| Have new cell phones lost their appeal? | |
| Yes | 72% |
| No | 28% |
Note: Percentages may not total 100% due to rounding.
WalletHub experts are widely quoted. Contact our media team to schedule an interview.