Apple to hold iPhone 18 pricing steady amid rising memory costs: Report

Apple is expected to absorb higher RAM costs linked to a global memory shortage and AI demand, keeping the iPhone 18's starting price unchanged, according to analyst Ming-Chi Kuo

Apple is expected to hold the starting price of its iPhone 18 lineup steady despite rising memory costs and supply constraints, according to industry insights shared by supply chain analyst Ming-Chi Kuo. The move would place Apple at odds with broader industry trends, where several smartphone brands have already signalled price increases due to higher component costs.

 

In a post on X, Kuo said Apple’s current plan for its second-half 2026 iPhone launches is to avoid raising prices “as much as possible,” with a specific focus on keeping the entry price unchanged. He added that while higher RAM prices are expected to pressure iPhone gross margins, Apple is likely to absorb the added costs rather than pass them on to consumers immediately.

 

 

According to Kuo, Apple sees pricing stability as important from a marketing and volume perspective, particularly at a time when memory prices are being driven up by demand from artificial intelligence data centres. He said the company expects to offset the impact of higher hardware costs through its growing services business over time.

Why smartphone prices are expected to rise

The pressure on iPhone pricing comes amid a broader memory supply crunch affecting the smartphone industry. RAM and storage components, which were becoming cheaper for several years, are now seeing sharp price increases as AI companies lock in large volumes of the same memory for data centres.

 

Kuo noted that Apple has already shifted to negotiating memory prices with suppliers every quarter instead of every six months, reflecting faster cost fluctuations and tighter supply. He expects another round of price increases during Apple’s next set of negotiations with memory vendors.

The issue may not be limited to RAM alone. Kuo also flagged shortages in other components, including glass cloth used in printed circuit boards. This material is shared across industries and is now in high demand from companies building AI hardware, further tightening supply for consumer electronics manufacturers.

 

While several Android brands such as Nothing have already indicated that smartphones will get more expensive in 2026, Apple appears to be taking a different approach by absorbing costs in the short term.

When can the iPhone 18 series launch

Apple is also expected to reorganise its iPhone launch schedule starting in 2026. Instead of unveiling the entire lineup at once, the company is likely to split its launches across two windows.

 

As per reports, Apple could launch the iPhone 18 Pro and iPhone 18 Pro Max alongside its first foldable iPhone in September 2026. The standard iPhone 18 and a successor to the iPhone Air are expected to follow in early 2027.

 

This staggered approach would allow Apple to prioritise higher-end models during its traditional September event, while spreading production and component demand over a longer period.