Apple raises prices of existing iPhone models by $100 amid new releases
Apple increased the starting prices of several current iPhone models by $100, citing higher component costs and market pressures, while also launching the iPhone 18 and its first foldable device.
Apple announced a $100 price increase for several of its existing iPhone models on its online store, with new starting prices of $799 for the iPhone 16, $699 for the iPhone 17e, $899 for the iPhone 17 and $1,099 for the iPhone Air. The hikes are more pronounced in some overseas markets; in India, prices rose by roughly 20.5%. At the same time, Apple discontinued the iPhone 17 Pro and iPhone 17 Pro Max.
The adjustments come as Apple introduced the iPhone 18 and the iPhone Duo, its first foldable handset. Industry analysts had anticipated a possible price rise, pointing to a global shortage of memory and storage chips that has driven up component costs for many manufacturers.
"We can no longer fully absorb the rising costs of memory and storage chips," former Apple CEO Tim Cook told The Wall Street Journal in June, suggesting the company may need to adjust pricing.
Apple has recently raised prices across its Mac and iPad lines and may be aligning iPhone pricing with competitors such as Samsung and Google, whose devices have also become more expensive. The company’s Upgrade program, which spreads payments over monthly installments, could help mitigate the impact of higher upfront costs for consumers.