Apple keeps iPhone prices stable despite rising memory prices

Source Domain: www.igorslab.de

Apple could pursue an unusual strategy with the upcoming iPhone generation in order to gain an advantage in the increasingly competitive smartphone market. While many manufacturers are having to raise their device prices due to sharply rising costs for memory chips, reports from the Asian supply industry indicate that Apple wants to keep the prices of its next iPhone generation stable. Specifically, this concerns the expected iPhone 18 and its variants, the iPhone 18 Pro and iPhone 18 Pro Max, which could be released in the fall.

The background to this possible strategy is a development that is currently preoccupying large parts of the electronics industry. Prices for DRAM and NAND memory are rising significantly as demand increases sharply due to the rapid expansion of AI data centers. Hyperscalers and cloud providers are buying large quantities of memory chips to expand their artificial intelligence infrastructure. This development is leading to a tense market situation that is directly affecting the cost of many hardware products, including smartphones and notebooks.

Many manufacturers are therefore faced with the decision of either raising their sales prices or cutting back on the features of their devices. Market observers expect significant price increases, particularly in the mid-range notebook and smartphone segments, as memory accounts for a significant portion of the total cost of modern devices.

However, Apple could have a different starting position. According to analyst Ming-Chi Kuo, the company has a particularly strong negotiating position with suppliers. Apple purchases enormous quantities of components and can therefore often negotiate better terms than many of its competitors. In addition, Apple regularly renegotiates the prices for memory chips, in some cases even on a quarterly basis, which allows the company to respond more flexibly to market developments.

A current example of an aggressive pricing strategy could be the MacBook…

Source