Apple is preparing to raise the prices of its iPhones. According to information published by MacRumors, based on Mark Gurman's newsletter from Bloomberg, the company will respond to rising costs for memory chips and other components. This move is expected to come before the autumn launch of the new iPhone 18 series.
Why is Apple raising iPhone prices?
The reason is the same supply chain issues that have already affected other Apple product lines. Two months ago, the company raised prices on nearly all its major products, with Mac and iPad prices increasing by an average of 23 percent. The iPhone escaped the price hike at that time, but according to Gurman, a price increase is now "inevitable."
Apple is reportedly closely monitoring how competitors are reacting to higher costs. Both Samsung and Google have raised the prices of their latest flagship smartphones by about one hundred dollars. If Apple were to follow their example, the starting price of the iPhone 18 Pro would reach $1,199, which is approximately nine percent more than the current iPhone 17 Pro, which starts at $1,099.
A modest increase or a shock?
Gurman describes the one-hundred-dollar increase as a "relatively modest rise." This suggests that Apple will absorb part of the higher costs itself. The company has already warned of pressure on its gross margins this quarter, a sign that it is not passing all rising expenses on to customers.
A one-hundred-dollar increase would also keep the iPhone in line with Samsung's price levels and prevent the "price shock" caused by the more significant increases for Macs and iPads. Gurman adds, however, that Apple has room to go even higher, as the price increases for Macs and iPads were much steeper, and the iPhone has a loyal customer base.
How to mitigate the impact? Apple Upgrade
The new Apple Upgrade subscription program could help customers spread the higher price into monthly payments instead of paying the full amount at once. However, this option is only available in the United States.
According to available information, an iPhone price increase appears very likely. The question remains whether Apple will stick to the mentioned one hundred dollars or opt for a larger increase.