MarketingMANIPULATIVE

Planned Obsolescence

What it is

Deliberately designing products to fail, become outdated, or lose support after a calculated period to drive replacement purchases.

How it works

Products can be engineered to break down after a certain number of uses, software updates can slow older devices, fashion cycles can make last season's products feel outdated, and ending repair support forces upgrades. The customer has no choice but to repurchase on the manufacturer's timeline.

Real-world examples

  • •Smartphone manufacturers releasing software updates that slow older models.
  • •Printer companies using chips in cartridges to reject third-party or refilled ink.
  • •Fast fashion producing clothing designed to fall apart after a few washes.

Historical case studies

The Phoebus light-bulb cartel

1924–1939Manufacturing

In December 1924 the world's leading lamp makers, including Osram, Philips, General Electric's affiliates and Compagnie des Lampes, formed the Phoebus cartel in Geneva. Besides dividing markets, they agreed to cut the rated life of a household bulb from the 1,500 to 2,000 hours then common to 1,000 hours, tested members' bulbs at a central laboratory, and fined companies whose lamps lasted too long. Average bulb life fell by about a third within a decade. Markus Krajewski reconstructed the scheme from the cartel's own archives; it is the best-documented case of an industry engineering a shorter product life on purpose.

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Apple and the slowed iPhones

2017–2020Consumer Electronics

In 2017 Apple confirmed what users had measured: software updates slowed older iPhones whose batteries had aged. The company said the purpose was to prevent sudden shutdowns, not to push upgrades, and it cut the price of battery replacements. Regulators focused on the silence. France's consumer-fraud authority fined Apple 25 million euros in 2020 because customers had not been told that the updates could slow their phones, and the company paid up to $500 million in a US class settlement and $113 million to a group of US states, without admitting wrongdoing. Whatever the intent, owners who were not told had decided whether to replace a phone or a battery on incomplete information.

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Ethical guidelines

  • ●Products should be designed for maximum useful life, not minimum profitable life.
  • ●Consumers have a right to repair and maintain products they have purchased.
  • ●Planned obsolescence generates massive waste with environmental consequences.

How to defend against it

  • ►Research product durability and repairability before purchasing — sites like iFixit rate this.
  • ►Support right-to-repair legislation and companies that design for longevity.
  • ►Consider refurbished products and independent repair shops to extend product life.

References

  1. Bulow, J. (1986). An economic theory of planned obsolescence. The Quarterly Journal of Economics, 101(4), 729–749
    Formal economic analysis showing that a durable-goods monopolist has an incentive to produce goods with inefficiently short useful lives to drive replacement purchases — the entry's core claim.
  2. Slade, G. (2006). Made to Break: Technology and Obsolescence in America. Harvard University Press
    History of deliberate obsolescence in American industry, covering engineered failure, style-driven (fashion) obsolescence and withdrawal of support — the three forms the entry describes.
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