Why buy an iPhone when you can subscribe to one?

Why buy an iPhone when you could simply subscribe to one? With prices rising and environmental awareness growing, the new giant created by the merger of Next Mobiles and Mobile.club aims to reshape how we consume smartphones.

This is a distinctly French paradox. While streaming has become commonplace for music and hire purchase for cars, smartphones remain objects that many people are determined to own outright. Yet as flagship devices comfortably exceed €1,500, the situation is shifting.

“The French market is fairly behind when it comes to rental. *In the United States, for instance, 80% of phones are rented*. It is also highly developed in England and Germany. France is still a market that needs educating, but we are convinced this will be the future,” says Damien Morin, chief executive of the group recently formed through the merger of Next Mobiles and Mobile.club, in an interview with Presse-citron.

After all, buying a premium smartphone today means taking responsibility for its depreciation, repairs and eventual resale yourself. Rental instead turns the product into an all-in-one service: no more worrying that a fault or accidental damage will leave you without your work tool for weeks. “With us, it is much simpler: if a customer breaks their iPhone 15, we send them the same model straight away,” the CEO explains.

Rental also meets the upgrade expectations of many technology enthusiasts. “Our customers want to switch models every year to enjoy the latest releases without having to handle the resale on LeBonCoin,” Damien Morin concludes. This luxury is now available from €14.90 per month.

Joining forces to conquer Europe

It is precisely to meet this growing demand that rivals Next Mobiles and Mobile.club joined forces last February. Together, they form a sector giant with 70,000 active contracts and €30 million in recurring revenue. For Damien Morin, the tie-up was an obvious strategic move to compete with European neighbours, particularly German players: “We were two highly recognised companies. Combining our strengths delivers complete simplicity for customers and far greater firepower as a business,” he says.

That increased firepower is reflected in €31 million of debt financing. It is a substantial sum, but a necessary one: to rent out the latest iPhone 17 devices to thousands of customers, the group must first be able to purchase them. Its offering is now divided to appeal to a broad audience: Next Mobiles for the Premium segment, Mobile.club for a more accessible and sustainable offer, and Cleaq for corporate IT fleets.

Behind the scenes: refurbished devices made in France

The merger serves as the engine for a logistics operation unlike any other in France. To uphold the promise made by Next Mobiles and Mobile.club, every rented phone must be guaranteed to perform as well as a new one. Unlike conventional marketplaces, where the origin of devices can sometimes be unclear, the group relies on a closed-loop system with full traceability.

“We buy new products from major distributors such as Apple. The product then goes through several cycles. A first customer keeps it for 12 or 24 months, then it comes back to us,” Damien Morin details.

Once it returns, every smartphone is handled by specialists for a complete cosmetic and technical ‘grading’ assessment. Batteries are replaced, scratches are removed through polishing, and performance is tested: all work is carried out locally before the device is put back into circulation. On average, a phone therefore completes 2.6 rental cycles before being sold permanently on the second-hand market.

This model appeals to a new group of consumers driven as much by environmental values as by practicality. “We have customers who choose refurbished products exclusively as part of a CSR approach. They are convinced that new products should be avoided and want to adopt this sustainable way of consuming,” the executive notes.

By controlling the end-of-life process for its devices, the group turns the smartphone into a circular asset, extending its lifespan far beyond normal market standards.

Towards comprehensive ‘Tech-as-a-Service’

The company’s ambitions are considerable. Although smartphones remain its flagship product, it is already expanding its scope: customers can now rent Macs, iPads, Apple Watches and even the latest technological standouts, such as the Apple Vision Pro. This diversification almost makes the group’s current name too narrow. A major rebranding project is under way to support this evolution and its planned international expansion into Spain, Portugal and the United Kingdom.

“We will keep Cleaq separate for businesses, but *Next Mobiles and Mobile.club will come together under a new brand by the end of this year*. The aim is to create a broader platform. The name ‘Mobile’ no longer properly represents our catalogue,” the executive reveals.

By 2030, the group is targeting €100 million in revenue. It is an ambitious goal founded on a firm belief: the lasting transition from ownership to usage. In a world where technology changes far faster than household budgets, rental is becoming a sought-after way to stay up to date.