Production of Apple's new flagship is set to become significantly more expensive due to rising prices for DRAM and NAND chips, driven by high demand from AI data centers, reports Channel News.
According to research firm TrendForce, the cost of components for the iPhone 18 Pro with 256GB storage will increase by approximately 38% compared to the previous generation model. The main factor behind the price hike is a sharp jump in prices for RAM and flash memory chips.
While memory accounted for about 10% of total component costs a year ago, it reached 34% in the third quarter of 2026 and could exceed 40% in the first half of 2027. Memory has overtaken the display and processor to become the most expensive component in a flagship smartphone. The shortage stems from major chipmakers Samsung, SK Hynix, and Micron redirecting their primary silicon capacity to high-density production for AI servers.
Experts believe Apple will prefer to partially offset costs by reducing its own margins to avoid a sharp drop in consumer demand. The company has used a similar strategy when updating its MacBook lineup.
...reports the website infohub.kz.