Price Increase Expected for Higher Capacity iPhone 18 Models
Apple’s upcoming iPhone 18 series is reportedly set to see a price increase, particularly for the higher capacity variants. Despite Apple’s well-known supply chain advantages, soaring costs for DRAM and NAND flash memory are pushing the prices up. Customers who were waiting to skip the iPhone 17 generation and upgrade to the iPhone 18 later this year may need to prepare for a heftier bill, especially if they opt for models with larger storage capacities.
Key Details on Cost Drivers and Storage Options
The rising cost of memory components is the main factor behind this anticipated price hike. According to a detailed analysis shared on yeux1122’s blog, DRAM prices have surged significantly, with a 12GB LPDDR5X memory module now costing around $70. This represents a staggering 230 percent increase compared to the $25-$29 price Apple paid at the beginning of 2025. Even Apple’s in-house A20 and A20 Pro chips, which are expected to cost about $280 each due to the shift to TSMC’s advanced 2nm N2 process, may not be enough to offset these memory cost increases.
Fortunately, the base storage models of the iPhone 18 are expected to maintain pricing similar to last year’s iPhone 17, which already raised the starting storage to 256GB. This move gives users more flexibility for apps, games, and media without immediately pushing them into the more expensive tiers. The 512GB versions, however, are likely to see the most noticeable price bump, positioning the 256GB models as the probable best-sellers in the new lineup.
Supply Chain Challenges Despite Strategic Efforts
Apple’s efforts to secure favourable DRAM deals have reportedly included sending executives abroad to arrange long-term agreements with major suppliers such as Samsung and SK hynix. Despite these attempts, the memory crisis continues to impact costs. Samsung is expected to be the largest DRAM supplier for both the iPhone 17 and iPhone 18 series, responsible for 60-70 percent of shipments, which may help mitigate some of the price pressures.
Leading financial institutions like Citi, Bank of America, and JPMorgan have weighed in on the situation, noting that Apple’s usual supply chain advantages are unlikely to prevent the price increases this time around. With DRAM now accounting for roughly 20 percent of a smartphone’s manufacturing cost, these rising expenses are significant enough to influence retail pricing.
What to Expect Moving Forward
As the iPhone 18 launch approaches, it will be interesting to see how Apple balances these increased component costs with consumer expectations. The company appears poised to keep base models affordable while passing on some of the additional costs to customers opting for higher storage options. Those considering an upgrade might find the 256GB variant offers the best value, combining ample storage with a more reasonable price point.
For more detailed insights on this topic, you can refer to the original analysis on yeux1122’s blog.
Overall, while the iPhone 18 series promises exciting new technology, buyers should be prepared for some price adjustments, especially if they favour models with greater storage capacity.