Apple Products Cost More
Apple Hikes Product Prices, Blaming Surging Memory Costs from AI Investments and Data Centers.
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Apple raised prices across its Mac, iPad, and home device lineup on June 25, 2026, with some models costing hundreds of dollars more overnight. The Mac Studio jumped $1,300 to $5,299, while the MacBook Pro climbed $300 to $1,999, according to 9to5Mac. Apple blamed the increases on a severe shortage of memory chips driven by AI data center demand.
CEO Tim Cook called the situation a "hundred-year flood," warning the memory market had become "unsustainable" in an interview with The Wall Street Journal. Apple said it had been absorbing rising costs for months before reaching a breaking point.
DRAM Prices Have Nearly Doubled in Six Months
The root cause is a structural shift in how memory chips are made. AI data centers need a specialized chip called High-Bandwidth Memory, or HBM. It is far more profitable to make than standard consumer memory. So manufacturers like Samsung and SK Hynix have redirected their factories toward it, according to Ars Technica.
The result has been brutal for consumer tech. DRAM prices surged 95% in Q1 2026 and another 90% in Q2, according to Wccftech. Overall, DRAM and NAND storage costs have risen more than 300% since mid-2025, per TechInsights. Micron CEO Sanjay Mehrotra said the memory industry has been "structurally transformed" by AI, and that his company's HBM supply is sold out through the end of 2026.
Apple's Biggest Price Hikes Hit Pro and Studio Machines
The increases range from 15% to 25% across Apple's lineup, according to Business Insider. The entry-level MacBook Neo rose $100 to $699. The iPad Air jumped $150 to $749. The iPad Pro climbed $200 to $1,199. Even the Apple TV 4K rose $70 to $199. The Vision Pro headset added $200, now sitting at $3,699.
This is not the first time Apple tried to soften the blow. Back in March 2026, Apple quietly discontinued the $599 Mac mini, pushing the entry price to $799 without a formal announcement, according to MacRumors. Thursday's move marked a shift to open, across-the-board increases. The MacBook Air and AirPods Pro 3 were the only major products spared, according to 9to5Toys.
Apple Loses Its Budget Edge as Rivals Hold the Line
The MacBook Neo's new $699 price tag puts it directly against Dell's XPS 13, also at $699. It now sits above premium Chromebooks from Asus and Lenovo, according to Reuters. For years, Apple used aggressive entry-level pricing to pull in first-time buyers. That advantage is gone.
Apple shares fell between 0.7% and 1.1% after the announcement, according to GuruFocus. Analysts at CIRP say shoppers are likely to hold onto their devices longer rather than upgrade. Some industry skeptics, cited by Wccftech, argue that memory makers are deliberately limiting consumer supply to maximize profits from the AI boom — effectively holding everyday buyers hostage.
iPhone 18 and a New CEO May Face an Even Bigger Crisis
The iPhone was not touched in Thursday's update. But analysts at Morgan Stanley and TechInsights predict the iPhone 18 Pro, launching in September, could cost $150 to $270 more than its predecessor, according to Petapixel. That would push flagship iPhone prices past $1,400 for the first time.
The timing is difficult for Apple. John Ternus is set to replace Tim Cook as CEO on September 1, 2026, according to Gurufocus. He inherits a pricing crisis on day one. Economists at Oxford Economics warn that this wave of "chipflation" could ripple into broader consumer prices, potentially affecting Federal Reserve rate decisions as goods-sector inflation reaccelerates.
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