Apple's upcoming iPhone 18 Pro could carry a significantly higher price tag as the company grapples with soaring memory costs caused by a global supply shortage.
Apple CEO Tim Cook recently acknowledged that the ongoing memory shortage has increased component prices and indicated that the company may pass some of those additional costs on to consumers. While Apple has not officially announced new pricing, a report by The Wall Street Journal, citing estimates from research firm TechInsights, suggests the next-generation iPhone could become considerably more expensive.
According to TechInsights, the 12GB DRAM used in last year's iPhone 17 Pro cost Apple approximately $39 per device. For the upcoming iPhone 18 Pro, the same amount of memory is expected to cost around $145. Similarly, the cost of 256GB of storage is projected to rise sharply from about $13 to nearly $51.
As a result, the estimated manufacturing cost of the base 256GB iPhone 18 Pro could climb to around $726, compared to roughly $582 for the iPhone 17 Pro.
The research firm estimates that Apple earned a gross profit margin of about 47% on the $1,099 base-model iPhone 17 Pro sold in the United States. To maintain a similar margin on the iPhone 18 Pro, Apple would need to price the device at approximately $1,371. However, after applying its typical pricing strategy, the company could instead launch the handset at around $1,299, resulting in an estimated gross margin of 44%.
Industry rumors also suggest that the iPhone 18 Pro will feature a redesigned camera system with a variable-aperture lens. The upgraded camera hardware is expected to cost Apple at least 50% more than the current setup, potentially pushing the starting price of the device to around $1,399.
If these estimates prove accurate, the iPhone 18 Pro Max is also expected to become more expensive than its predecessor. The current iPhone 17 Pro Max starts at $1,199, with the next-generation flagship likely to debut at an even higher price.
Apple has yet to officially announce the pricing or specifications of the iPhone 18 series.