[News] Tim Cook Signals Apple Price Hikes; Ready to Use Cash Reserves to Compete for Memory Supply
Apple is preparing to raise prices to offset rising memory costs. According to The Wall Street Journal, CEO Tim Cook said the company has worked to absorb much of the impact, but some price increases are ultimately unavoidable. Cook did not disclose when the increases might take effect, how large they could be, or which products would be affected, the report notes.
Apple’s next major launch is expected in September with the iPhone 18 lineup and a foldable iPhone. The report adds that price hikes, particularly for Macs and iPads, could come sooner. Apple raised the entry price of the Mac Mini last month.
Cook said rising memory and storage costs remain a challenge, highlighting DRAM in particular as more supply is being allocated to HBM for AI servers, the report notes.
Notably, Cook said Apple is prepared to leverage its cash reserves to help secure additional memory supply. However, he did not provide details. The report notes that it remains unclear whether Apple can match the aggressive terms AI hyperscalers are offering to lock up supply.
Even as Apple explores ways to secure additional memory supply, Cook said the company has no plans to use its cash reserves or chip design expertise to build its own memory or storage manufacturing facilities, the report adds.
Price Increases May Reshape iPhone Demand
Apple, long known for its strong profitability, is now signaling potential price increases as it grapples with surging memory costs. TrendForce notes that this suggests the global smartphone industry could face a broader wave of price hikes in 2H26 and into 2027, further reducing the prospects for a meaningful market recovery next year.
TrendForce estimates that Apple may raise the starting prices of the iPhone 18 Pro and iPhone 18 Pro Max by roughly US$150–200. Older models, including the iPhone 17 series, are likely to maintain current pricing. While higher prices could weigh on demand for the latest-generation devices, they are also expected to drive stronger demand for legacy models.
Looking at the full year, stronger-than-expected first-half sales and the pricing advantage of older-generation models should support overall shipments. As a result, TrendForce believes total iPhone production in 2027 could still exceed the more than 250 million units produced in the previous year.
Apple’s Price Hikes May Create an Opening for Samsung
Meanwhile, Apple’s planned price hikes could present both a challenge and an opportunity for Samsung Electronics’ MX division. According to Global Economic News, Samsung could gain premium-market share by keeping Galaxy S price increases modest—or avoiding them altogether. The report adds that the strong profitability of Samsung’s semiconductor division gives the company a strategic advantage in deploying pricing and market-share strategies.
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(Photo credit: Apple)
