Apple price hikes may hit iPhone next as memory, storage costs soar
Apple raised prices on MacBooks, iPads, Vision Pro, and home devices globally on Thursday, with some models costing 20% more, wiping out US$260 billion of its market cap overnight. Analysts warn that iPhones and Apple Watches, currently unchanged, could be next due to rising memory and storage costs driven by AI data center demand. Apple stated the industry faces an unprecedented challenge with component price increases never seen before. Shares fell 6.15% to US$275.15, the biggest drop in over a year. Chinese consumers are reconsidering upgrade plans amid anticipated price hikes for the upcoming iPhone series.
Key facts
- Apple increased prices on Macs, iPads, Vision Pro, and home devices globally on Thursday.
- Some models now cost 20% more.
- The price hikes wiped out US$260 billion of Apple's market cap overnight.
- iPhone and Apple Watch prices remain unchanged for now.
- Analysts warn iPhones could be next due to rising memory and storage costs.
- Apple cited AI data center demand as a cause for component price surges.
- Apple shares fell 6.15% to US$275.15 on Thursday.
- Chinese consumers are reconsidering upgrade plans for the upcoming iPhone series.
Entities
Institutions
- Apple
Locations
- Cupertino
- California
- United States
- China