Apple to Raise Prices Due to Memory Chip Crunch, Tim Cook Says
Cook said Apple is trying to shield customers as DRAM and storage costs climb and supply shifts toward high-bandwidth memory for AI servers.
- Apple CEO Tim Cook confirmed on Wednesday that product prices will rise due to ongoing memory and storage supply constraints, though he did not specify which devices face hikes.
- Surging AI-driven demand for data centers has squeezed the market, forcing consumer electronics companies into fierce competition for dwindling memory supplies. Groups representing electronics firms warned earlier this month that chip shortages could disrupt supply chains.
- "Unfortunately, price increases are unavoidable," Cook told The Wall Street Journal, noting that while Apple has tried to shield customers, the current DRAM situation has become unsustainable.
- Preparing to hand over the CEO role to John Ternus in September, Cook indicated Apple may use its cash reserves to boost memory supply without building its own factories.
- Recent adjustments to the Mac Mini that dropped base storage options precede broader potential price hikes for future hardware releases. Macs and iPads could see increases sooner than the iPhone 18 launch in September.
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169 Articles
San Francisco, United States. The rise in artificial intelligence (IA), which triggered the cost of memory chips, will force Apple to increase the price of its products, warned its CEO, Tim Cook, during an interview with the Wall Street Journal published on Wednesday. Cook did not specify either the timing or the amount of these uploads, or the devices affected. Apple’s next big launch is expected in September with the iPhone 18 range, which cou…
The outgoing executive director of Apple, Tim Cook, admitted that the company is not immune to the increase in component costs brought about by the rise in artificial intelligence and that it is impacting on the price of smartphones and computers, and considered the price increase of the next iPhone as “inevitable.” In an interview with The Wall Street Journal, Cook described the current crisis in the supply chain as a “one-hundred-year flood,” …
Apple May Hike Prices as It Grapples with Memory Chip Shortage: Report
Get latest articles and stories on Business at LatestLY. The Apple boss described the situation as "unsustainable" saying that the iPhone maker has done everything to shield customers and that the company has done its best to mitigate the huge price increases that have been passed on to it. Business News | Apple May Hike Prices as It Grapples with Memory Chip Shortage: Report.
“We’re doing our best to mitigate the huge increases that are being passed on to us,” said Tim Cook, CEO of the company.
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