Apple prepares for record-high iPhone 18 Pro prices amid soaring chip and memory costs

Analysts predict the upcoming iPhone 18 Pro could be the most expensive model yet, driven by advanced chip technology and a global memory shortage linked to AI demand, with prices potentially rising by up to $300.

Apple customers may face a sharper-than-usual price increase next year as analysts weigh the cost of advanced chips, tighter memory supply and the company’s next generation of Pro devices. The most expensive iPhone yet could be the iPhone 18 Pro, with some early estimates putting the starting price well above today’s equivalent models as manufacturers absorb higher component costs.

Jeff Pu of GF Securities has said the iPhone 18 Pro and iPhone 18 Pro Max could cost $250 to $300 more than current models, largely because of TSMC’s 2-nanometre chip process and a global shortage of memory chips. That shortage is being driven by heavy demand from artificial intelligence data centres, which are consuming much of the available DRAM and NAND flash supply.

Other analysts are less alarmist. J.P. Morgan has indicated that the rise may be smaller than feared, even if price pressure is real. MacRumors reported that the iPhone 18 Pro could start at $1,399, while Apple chief executive Tim Cook has already said higher prices are unavoidable as component costs climb. Techtimes said maintaining Apple’s margin would require a rise of about $270, though that remains an estimate rather than a confirmed retail plan.

Counterpoint Research has also pointed to a higher bill of materials for the iPhone 18 Pro Max, with the 1TB version expected to cost nearly $300 more to produce than its predecessor. The bigger picture is that AI infrastructure is reshaping supply chains well beyond servers and data centres, pushing up costs for consumer electronics at the same time that handset makers are adding more advanced processors and storage.