Apple CEO Blames AI-Driven Chip Shortage for Upcoming Price Hikes
Apple CEO Tim Cook told the Wall Street Journal that rising memory and storage chip prices, spurred by artificial-intelligence demand, are forcing the company to raise prices on its products. He repeated the point in interviews reported by TechCrunch and Fox Business, noting that the surge in component costs makes price hikes unavoidable. In a later conversation with Mashable, Cook added that while Apple had tried to absorb some of the increase, the continued climb in memory chip prices would compel higher iPhone prices.
Later, Apple confirmed that price increases would apply across its iPhone lineup, with analysts estimating the iPhone 18 Pro to start at about $1,399. Business Insider reported that other technology CEOs echoed Cook’s concerns, saying the AI-driven chip shortage is pushing up semiconductor costs and could lift consumer prices more broadly.
