Apple has begun raising prices on some Mac and iPad models, after warning that higher component costs would eventually force its hand. The increases come as memory chip prices jump amid the AI boom, and the company says the pressure has made earlier attempts to absorb the costs unsustainable.
According to the report, the MacBook Neo will now start at $699 instead of $599, and the MacBook Air will start at $1,299 instead of $1,099. Other products, including the MacBook Pro, iPad, and iPad Air, are also getting more expensive. For now, iPhone, Apple Watch, and AirPods prices have not changed.
Apple CEO Tim Cook said in an interview with The Wall Street Journal last week that the company had tried to shield customers from the increases, but the situation had become, in his words, “unavoidable.” He said the surge in memory and storage costs, together with stronger demand for high-bandwidth memory used in AI servers, has left “less supply” while consumers still want devices, and memory makers are passing on “huge” price increases.
In a statement issued Thursday, Apple said it had “never seen a rise in component prices on this scale and at this speed,” adding that it had protected customers until now but had reached the point where it must raise prices on several products. The article says the iPhone has not become more expensive yet, but that could happen around September, when Apple is expected to unveil the iPhone 18 Pro and possibly its first foldable model. The impact on Israel is still unclear, though local sources say some of the increases may have to be absorbed there as well.