What Apple’s ‘Unavoidable’ Price Hike Means
Apple’s latest price strategy refers to planned increases across iPhones, Macs, and iPads that the company says are driven by rising memory and storage costs, which it describes as unsustainable and impossible to absorb without higher consumer prices. Tim Cook told The Wall Street Journal that Apple has been absorbing component cost spikes for as long as it could, but higher memory and storage prices have now made further shielding of customers impractical. The global memory chip shortage, fuelled by heavy AI demand, is squeezing supply and driving costs higher for device makers. This sets the stage for an Apple price increase that will touch both premium and mainstream devices. While the company has not disclosed exact figures or launch timing, Cook’s comments signal that buyers considering an upgrade to any Apple product should expect a noticeable iPhone price hike and higher Mac and iPad prices in the near future.
Why Memory and Storage Costs Are Rising
Cook links the coming Apple price increase to a sharp rise in memory and storage chip prices, calling the situation “unsustainable.” He says AI companies are buying so much memory and storage that other buyers are left paying higher prices for limited supply. Memory chips appear to be a bigger problem than storage, but both are pushing Apple’s costs upward. According to The Wall Street Journal, the memory and storage components that cost Apple about USD 50 (approx. RM230) in the iPhone 17 Pro are projected to cost around USD 200 (approx. RM920) in the iPhone 18 Pro. Apple plans to use its cash reserves to secure more memory supply, but Cook ruled out building its own chip factories, saying, “We can’t do everything.” For consumers, this global memory chip shortage translates directly into storage costs rising inside future Apple products.
How the iPhone 18 Pro Could Be Affected
While Apple has not confirmed specific numbers, outside analysis shows how the iPhone price hike might play out on the iPhone 18 Pro. Research firm TechInsights estimates that maintaining Apple’s usual gross margins could require a price bump of around USD 270 (approx. RM1,240) on the Pro model. The Wall Street Journal’s breakdown suggests that this could push the starting price of the iPhone 18 Pro to USD 1,299 (approx. RM5,980). Higher memory and storage costs are only part of the story: the iPhone 18 Pro is also expected to gain a 48MP ultra-large main sensor with variable aperture, a 2nm chip, high-speed memory, and a larger battery. These upgrades raise Apple’s bill of materials and make it harder for the company to absorb cost increases without a noticeable iPhone price hike, especially on the Pro tier.
Impact Beyond the Pro Models: Macs, iPads, and Base iPhones
Cook’s comments make clear that the Apple price increase will not stop at the iPhone 18 Pro. He said price increases are coming “across” Apple’s products, which means Macs and iPads will also reflect storage costs rising, particularly for higher-capacity configurations. Earlier reports had suggested the base iPhone 18 might gain 12GB of RAM without a price change to support on-device AI features. Now, Smartprix notes that Cook’s confirmation of broad cost pressures makes that scenario unlikely. Standard iPhones, not only the Pro models, are therefore at risk of higher launch prices or fewer “free” spec bumps. For buyers, this suggests that waiting for a cheaper base model may not help; memory-rich configurations of MacBooks, iPads, and non-Pro iPhones could all face increases driven by the same memory chip shortage.
What Consumers Can Do Before Prices Rise
With Apple signalling that higher prices are inevitable but not yet revealing a timeline, consumers still have options. Those already planning upgrades might consider buying current-generation iPhones, Macs, or iPads before the next lineup arrives, especially if they can find discounts on models with enough storage for their needs. Buyers who value on-device AI features and extra memory may prefer to wait, accept the higher price, and get longer device longevity in return. Either way, Cook’s warning that he has “never seen anything like” the current memory market in over 40 years suggests that elevated component costs may not fade quickly. For now, the safest assumption is that Apple’s next wave of flagship products will launch with higher price tags, and budgeting for a meaningful iPhone price hike and more expensive configurations is wise.
