iPhone Prices May Rise Due to Memory Shortage

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Increased iPhone Prices in 2026 Due to Global Memory Supply Crunch and Apple’s Dependence on Samsung

The technology sector anticipates continued price increases throughout 2026, largely due to shortages of memory components. These shortages are driving up costs for manufacturers, who will likely pass those increases on to consumers. According to Wccftech, Apple is now paying over $230 more for the 12GB LPDDR5X RAM chips used in its high-end iPhone 17 Pro models. This increase will reduce Apple’s profit margin unless it raises prices for consumers. Apple’s long-term memory supply agreements with Samsung and SK Hynix are set to expire in early 2026. Coinciding with this, Apple is now relying more on Samsung for its iPhone memory needs. This increased reliance on Samsung occurs against the backdrop of a tightening global memory supply. While Samsung, SK Hynix, and Micron all produce LPDDR on a large scale, industry insiders claim that SK Hynix and Micron have been shifting their production towards high-bandwidth memory (HBM). This shift is putting additional strain on memory suppliers to deliver components in massive production batches. The price of a 12GB LPDDR5X module has increased from approximately $30 at the start of 2025 to around $70 now.

Future iPhone Models at Risk of Price Hikes in 2026 Due to Memory Supply Crunch and Component Costs

Apple reportedly made significant memory purchases before the recent price increases, providing some short-term protection. In addition to the A20 and A20 Pro chipsets expected in the iPhone 18 and iPhone Fold, Apple’s C2 5G modem may also feature in its top-tier phones next year. For the iPhone 18 series, expected to hit assembly lines in February, Apple may increase memory capacity and utilize six-channel LPDDR5X memory to improve speed and data transfer. However, analysts predict the DRAM shortage will last until Q4 2027, potentially leading to further price increases for the iPhone 18 series. Apple’s reliance on Samsung for components has grown, with Samsung now supplying an estimated 60 to 70 percent of Apple’s components. The introduction of Apple’s own C2 5G modem in future iPhones should lower overall chipset costs, partially offsetting the rising prices of other components. With current contracts with Samsung and SK Hynix reportedly expiring in early 2026, Apple must find alternative solutions or sign new contracts at inflated prices due to high demand. These factors suggest potential price hikes for the iPhone 17 Pro line and future iPhone 18 models, possibly including the first iPhone Fold, scheduled for release in 2026.

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