Observed Signal · Sep 9, 2026 · Policy Update · Source: techcrunch · Impact: 2/5 · Sentiment: Negative
Apple Raises Prices on Older iPhone Models by $100
Amid the launch of the iPhone 18 and the first foldable iPhone Duo, Apple has increased the prices of its existing iPhone lineup by $100 in the US. The new starting prices are $799 for iPhone 16, $699 for iPhone 17e, $899 for iPhone 17, and $1,099 for iPhone Air. International markets saw even steeper hikes, with India experiencing around a 20.5% increase. The company also discontinued the iPhone 17 Pro and Pro Max. The price increase is attributed to a global shortage of memory and storage chips, driven by surging demand from AI companies and cloud providers. In a June interview, former CEO Tim Cook acknowledged rising component costs. Apple previously raised Mac and iPad prices a week after those comments. The strategy breaks from the traditional pattern of lowering older model prices upon new releases.
Relevant to the AdTech industry as Apple's pricing strategy may influence consumer device adoption and the advertising environment on Apple devices, but the direct impact is limited.
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Key Takeaways & Evidence Grounding
- Apple increased US prices of existing iPhone models by $100.
- iPhone 16 now starts at $799, iPhone 17e at $699, iPhone 17 at $899, and iPhone Air at $1,099.
- In India, iPhone prices rose by approximately 20.5%.
- Apple discontinued the iPhone 17 Pro and iPhone 17 Pro Max.
- Price hike driven by global memory and storage chip shortage, as cited by former CEO Tim Cook.
Connected Companies & Entities
2 Entities mapped“Apple on Wednesday unveiled its new iPhone 18 and first foldable iPhone Duo, and raised prices on existing models....”
“Other reasons Apple may consider increasing iPhone prices are to remain competitive with rising prices from rivals like Samsung and Google....”
Related Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
Apple Raises Prices for iPads and MacBooks
Apple has increased retail prices for several hardware products—including entry-level MacBooks, MacBook Pro, iPads, HomePod and Apple TV—citing sharply higher memory-chip costs driven by demand from large-scale AI data center builds. iPhone prices were left unchanged for now. Specific increases in Germany include the cheapest MacBook rising from €599 to €799, the MacBook Pro entry price from €1,799 to €2,199, the cheapest iPad from €379 to €499, and the HomePod mini up €30 to €139. Apple CEO Tim Cook told the Wall Street Journal that component prices have risen faster and more strongly than the company has seen before, creating an unprecedented industry challenge.
Apple Plans Device Price Hikes Due to Memory Shortage
Apple warned that it will raise prices on consumer devices because of an ongoing global shortage and rising costs for memory and storage chips. In an interview cited by The Wall Street Journal, Tim Cook said Apple has tried to shield customers but the situation is "unsustainable." Research firm TechInsights estimated the next iPhone Pro could rise by about $270, while analyst notes from Evercore ISI and Bank of America suggested a smaller rise nearer $100. Apple has already flagged significantly higher memory costs in recent earnings commentary. The shortage is being driven in part by hyperscalers buying data‑center grade memory to support large AI workloads, reducing supply for consumer device components. Analysts and columnists expect Apple’s ecosystem strength and carrier subsidies to blunt demand loss, protecting margins despite higher prices.
Apple Unveils Budget iPhone 17e and Upgraded iPad Air
Apple introduced a lower-cost iPhone 17e and an updated iPad Air as the company kicked off a multi-day hardware launch. The iPhone 17e is a budget 6.1-inch model starting at $599 (below the $799 standard iPhone 17), and adds tougher glass, the A19 chip, the C1X modem, MagSafe charging and 256GB base storage with Apple Intelligence support. Preorders begin March 4 with in-store availability March 11. Apple also refreshed the iPad Air (11-inch $599, 13-inch $799) by replacing the M3 with an M4 chip that Apple says is up to 30% faster and improves wireless and cellular performance. Retailers were told to prepare for increased demand, and Apple plans additional product announcements later in the week.
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