Apple launches iPhone in-store trade-in program

Starting immediately, people can trade in their used iPhones for credit toward new ones by bringing the phones to Apple Stores.

SAN FRANCISCO — Apple Inc. , looking to tap into the exploding market for used phones, has launched an iPhone trade-in program at its retail stores.
The move comes as the sale of higher-end smartphones is slowing, prompting gadget makers and wireless carriers to offer incentives to encourage customers to upgrade to the latest versions of their devices.
"It's important to remember that the smartphone resale market is still relatively small," said Walter Piecyk, an analyst at BTIG Research. "But it offers an interesting growth opportunity."
It's indeed still small, but it's growing rapidly. According to a recent paper by Bernstein Research, the used smartphone market is projected to grow from 53 million units to 257 million units by 2018. Bernstein estimates that about half the used smartphones sold in the last year were iPhones.
That's a compliment of sorts to Apple, because it means iPhones hold their value longer than competitors' phones, such as the Samsung Galaxy smartphones, analysts say. But it's also a challenge.