Apple has increased the prices of every iPhone model it currently sells in India after unveiling its first foldable iPhone, with some older models becoming significantly more expensive.
The price increases come amid a global surge in memory chip costs, driven largely by rising demand from artificial intelligence (AI) data centres. Apple had previously cited the unprecedented increase in memory component prices when it raised prices of some MacBook and iPad models in June.
iPhone 18 Pro Starts at Rs 1.64 Lakh
Apple’s newly launched iPhone 18 Pro starts at Rs 1,64,900 in India, while the iPhone 18 Pro Max starts at Rs 1,79,900.
Both models are priced $100 higher in the US than last year’s comparable flagship models, with the iPhone 18 Pro starting at $1,199 and the Pro Max at $1,299.
Apple’s first foldable, the iPhone Duo, has an even higher price tag. It starts at $1,999 in the US and Rs 2,99,900 in India.
The 2TB version costs as much as Rs 4,49,900 in India, making it the most expensive iPhone launched by Apple so far.
Older iPhones Also See Sharp Price Hikes
Apple has also revised prices for the iPhone 16, iPhone 17e, iPhone 17 and iPhone Air in India.
The 1TB iPhone Air saw the biggest increase, rising by Rs 65,000, or around 41%. The base iPhone 17 is now around 21% more expensive.
The increases in India are considerably steeper than the price changes for older iPhones in the US, where Apple raised prices by $100 for models it continued to sell.
Why Are iPhones Getting More Expensive?
A major factor is the rising cost of memory chips.
The electronics industry is facing a supply-demand imbalance as AI data-centre operators buy large quantities of memory components. Memory manufacturers have also redirected production capacity towards high-bandwidth memory (HBM), which is used in AI servers and commands higher prices than memory used in consumer devices.
Apple had already warned about the impact of rising component costs when it increased prices of some MacBooks and iPads earlier this year.
The company said the electronics industry was facing an unprecedented challenge because of the surge in demand for chips used to power AI data centres.
Memory Prices Surge Across Industry
Apple is not the only technology company dealing with higher component costs.
Microsoft-owned Xbox increased the US price of its basic console by $100 to $499 in August, while a higher-memory model became $150 more expensive at $749.
Xbox said the consumer electronics industry was facing a components crisis and that memory and storage costs had already more than doubled.
Industry research cited in the report indicates that average selling prices of DRAM have risen by roughly 400% year-on-year, while NAND flash storage prices have increased by more than 300%.
Is Memory the Only Reason for Apple’s Price Hike?
Not necessarily.
Apple does not disclose the exact cost of manufacturing each iPhone or the profit it makes per device. While higher memory prices are likely contributing to the latest increases, publicly available information does not establish exactly how much of the price rise is attributable to memory costs.
The new iPhone 18 Pro models also feature upgraded hardware, including the A20 Pro processor and a variable-aperture main camera.
However, the price increases for older models are a closer reflection of the broader component-cost pressure because their core hardware remains unchanged from their original launches.
How Long Could the Memory Shortage Last?
The pressure on memory supplies could persist for years. SK Hynix, one of the world’s largest memory manufacturers, has warned that the shortage could continue beyond 2030.
Apple’s strong consumer base could nevertheless help it absorb some of the impact of higher prices.
The latest increases highlight how the explosive growth of AI infrastructure is beginning to affect prices across the wider consumer electronics market, including smartphones, computers and gaming hardware.
