The upcoming iPhone 18 Pro may see a sharp price increase due to soaring memory, storage, and camera costs, with industry experts warning of potential impacts on demand and margins.
Apple may be heading towards a sharper price increase for its next premium handset as memory and storage costs continue to climb, with early reports suggesting the iPhone 18 Pro could be the first model to feel the pressure. Vietnamese outlet Thanh Nien, citing the Weibo leaker Instant Digital, said the device’s starting price in China could reach 9,999 yuan, compared with 8,999 yuan for the iPhone 17 Pro. In the US, the current model starts at $1,099, although Chinese pricing is typically higher because of taxes and market structure.
That warning is being reinforced by other industry estimates. MacRumors reported that TechInsights believes Apple may need to add about $270 to the price of the iPhone 18 Pro to protect margins, which would push the starting figure to around $1,369. The firm linked the pressure to a global shortage of DRAM and NAND flash memory, both of which are in heavy demand from artificial intelligence data centres. A separate Counterpoint Research analysis, also cited by MacRumors, suggested the bill of materials for the iPhone 18 Pro Max could rise by almost $300 on the 1TB version alone.
The rising component burden is not limited to memory. MacRumors said analyst Ming-Chi Kuo expects the iPhone 18 Pro’s variable aperture camera system to cost Apple about 50% more than the lens assembly used in current models. The feature should improve exposure control and give photographers more flexibility over depth of field, but it adds yet another cost item to a product already facing expensive silicon and storage parts. Tom’s Hardware separately reported that Apple is also dealing with packaging bottlenecks tied to DRAM shortages, with about $1 billion worth of processor wafers waiting to be completed ahead of the launch cycle.
Even so, the final retail price remains uncertain. TrendForce, as cited by Thanh Nien, estimated that the iPhone 18 Pro’s component costs could rise by as much as 38%, implying a theoretical retail price of $1,539 if Apple passed the increase on in full. But the research firm said Apple may instead absorb some of the hit through lower margins to avoid dampening demand. PhoneArena has suggested loyal iPhone buyers may tolerate a $1,399 price point, while another report there said analysts do not expect the increase to be as severe as some fear. That leaves Apple with a familiar balancing act: protect profitability while trying not to turn a premium upgrade into a harder sell.
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