Apple's iPhone 18 Pro expected to be more expensive
What's the story
Apple's upcoming iPhone 18 Pro series is expected to be unveiled at the company's annual September event. However, recent analyst predictions indicate that the new models could come with a higher price tag than their predecessors. The speculation comes after Apple recently hiked prices for several Mac and iPad models, leading analysts to believe that premium iPhone 18 Pro models may also see a significant price increase this year.
Cost factors
Price increase due to rising component costs
Analysts tracking Apple's business believe that increasing component costs, particularly memory chips, could force the tech giant to raise prices across its flagship lineup. IDC forecasts that the iPhone 18 Pro and iPhone 18 Pro Max could be up to $200 more expensive than their predecessors. This is a revision from IDC's earlier estimate of a $100 increase for Pro models and about $50 for standard variants.
Market response
Analyst predicts significant price hike for iPhone 18 Pro models
IDC Senior Director of Data & Analytics, Nabila Popal, said the recent price hikes for iPads and Macs could indicate a similar trend for iPhones. She said, "In our forecast, we had assumed a price hike of $100 to Pro and Pro Max models... however, seeing the price hikes today to iPad and Macs going as high as $300 for some models... perhaps even $200 to the Pro/Pro Max models."
Supply chain impact
Global memory shortage impacts pricing
The expected price increase is largely attributed to the ongoing global memory shortage, which has driven up the costs of RAM and storage chips. The iPhone 18 Pro models are rumored to come with 12GB RAM, a configuration that Apple has already used in its latest iPads. Analysts believe this trend could provide insight into how the company plans to price its next-generation iPhones.
Regional impact
Potential impact on Indian market
The potential price hike could also affect Indian buyers. IDC India Vice President Navkendar Singh had earlier predicted a $100 to $150 increase in the prices of iPhone 18 Pro and Pro Max compared to the launch prices of their predecessors. However, this prediction was made before Apple announced significant price hikes for its MacBooks and iPads.
Market dynamics
Increased prices may not deter demand for Pro models
Despite the predicted price hikes, IDC believes demand for the Pro models will not be significantly affected. The firm argues that many users with older iPhones may finally upgrade to access Apple's latest AI-powered Siri features. Buyers of Pro Max models are generally less sensitive to price increases, while monthly financing plans could make these higher prices more manageable.