Apple confirmed that it will increase prices across its product range due to increasing memory chip costs. Analysis by The Wall Street Journal predicts that the starting price of the iPhone 18 Pro model may go up to $ 1,399.

Apple CEO Tim Cook acknowledged that the company is affected by rising memory costs. While there is uncertainty about which devices will be priced and when, clear information is expected to be shared at the new iPhone launch in September.

Cause and Effects of Increasing Costs

The price increases are driven by global DRAM and NAND flash storage shortages as AI data centers compete for identical components. Manufacturers such as Samsung Electronics and Micron Technology are focusing on enterprise-scale memory chips for AI servers rather than consumer electronics, restricting supply.

According to TechInsights data, DRAM and flash storage prices are expected to approximately quadruple this fall compared to last year. It is claimed that the cost of 12GB DRAM, which is $ 39 in the iPhone 17 Pro, can reach $ 145 in the iPhone 18 Pro.

In the same way, the cost of 256GB flash storage, which is $ 13 on the iPhone 17 Pro, is expected to increase to $ 51. This causes the total material cost of the iPhone 18 Pro to increase to approximately $726.

New Camera System and Expected Pricing

TechInsights calculates that Apple needs to sell the iPhone 18 Pro for $1,371 to maintain its current gross margin. But given the company’s choice of standard pricing, a starting price of $1,299 seems more likely.

Analyst Ming-Chi Kuo states that the new camera system will cost Apple 50 percent more than the previous generation. When these additional costs are taken into account, it is estimated that the starting price of the iPhone 18 Pro may rise to $ 1,399 or more.

This price level represents an increase of $200 to $300 compared to the $1,099 iPhone 17 Pro. The iPhone 18 Pro Max model is expected to be $ 100 more valuable than the Pro model.

In addition, the foldable iPhone Ultra model, which is said to come with a starting price of around $ 2,000, is expected to be introduced in the same period.

How do you think this expected price increase for the iPhone 18 Pro will affect consumers’ purchasing decisions?