Apple has increased prices across several of its Mac, iPad and smart home product lines, citing a global shortage of memory and storage components fueled by the rapid expansion of artificial intelligence infrastructure.
The price adjustments, reported on Wednesday, affect a wide range of Apple devices, although the company has, for now, kept iPhone prices unchanged. However, industry observers say iPhone price increases could still arrive later this year if component costs continue to climb.
Mac lineup sees major price increases
Apple’s newest entry-level laptop, the MacBook Neo, will now start at $699, up from $599.
Other Mac models have also received significant price hikes:
- MacBook Air: $1,299 (previously $1,099)
- MacBook Pro: $1,999 (previously $1,699)
- Mac Studio: $2,499 (previously $1,999)
Earlier this year, Apple also discontinued the 256GB Mac Mini that started at $599. The company now offers the 512GB version as the entry-level model at $799, while the M4 Pro configuration now starts at $1,599, up from $1,399.
iPads and smart home devices also affected
Apple has also raised prices across its iPad lineup:
- iPad Air: $749 (previously $599)
- iPad Pro: $1,199 (previously $999)
- Base iPad (A16): $449 (previously $349)
- iPad Mini (A17): $599 (previously $499)
The company’s smart home products have also become more expensive:
- HomePod: $349 (previously $299)
- HomePod Mini: $129 (previously $99)
- Apple TV: $129 (previously $99)
Meanwhile, Apple’s mixed-reality headset, Vision Pro, now carries a price tag of $3,699, an increase from $3,499.
Apple blames AI-driven component shortage
Explaining the increases, Apple said the consumer electronics industry is facing unprecedented pressure due to soaring demand for memory chips and storage components as companies race to build AI infrastructure.
“The consumer electronics industry is facing an unprecedented challenge. The rapid expansion of AI data centers has created an extraordinary surge in demand for memory and storage. We have never seen a component price increase this much, this quickly,” the company said.
Apple added that it is working to minimize the impact on customers but acknowledged that rising component costs have made price increases unavoidable.
“We know this is not welcome news, and we are working tirelessly to find solutions,” the company said.
Tim Cook previously warned of higher prices
Last week, Apple CEO Tim Cook indicated that price increases were becoming unavoidable as the cost of memory and storage continued to rise.
During the company’s earnings call earlier this year, Cook also noted that supply constraints were affecting some products, particularly the Mac Studio and Mac Mini, adding that it could take several months for supply and demand to return to balance.
AI boom reshaping the tech industry
Industry analysts say the AI race has fundamentally changed the global semiconductor supply chain.
According to research firm Counterpoint, smartphone DRAM prices increased by 50%, while NAND Flash storage prices surged by more than 90% during the first quarter of 2026.
Counterpoint Research Director Tarun Pathak said manufacturers can no longer absorb rising memory costs without hurting profitability.
“We have reached a point where absorbing memory price hikes is impossible unless one wishes to run a business at a major loss. Memory prices have increased more than fourfold since Q4 2025,” he said.
He added that other PC and tablet manufacturers are also expected to follow Apple’s lead by increasing prices, reducing discounts, or focusing more heavily on premium devices.
While electronics companies grapple with higher production costs, memory suppliers are benefiting from the AI boom.
Chipmaker Micron recently reported a fourfold increase in year-over-year revenue, highlighting the growing demand for advanced memory components as artificial intelligence continues to reshape the global technology industry.
