Apple CEO Tim Cook has expressed concerns that the surge in artificial intelligence demand will lead to higher memory chip prices, forcing the company to hike prices on its products. In an interview with the Wall Street Journal published Wednesday, Cook said, “Price increases are unavoidable,” and mentioned that while Apple has tried to shield customers from these costs, the situation has become unsustainable. He did not specify when the price hikes might occur, nor which devices would be affected.
Apple’s upcoming major release is anticipated in September, featuring the iPhone 18 series. Cook also pointed out that limited supply combined with rising costs from memory component suppliers—particularly as they pass along substantial price increases—will likely impact consumers. According to research firm TechInsights cited by the WSJ, Apple might need to raise the price of its iPhone Pro by approximately $270 just to preserve its current profit margins.
The rapid development of AI data centers has dramatically increased the cost of memory chips and RAM, which are found in nearly all electronic devices. Since late 2025, the prices for these components have risen by at least 50% each quarter. With Cook’s extensive background in electronics supply chains—including previous roles at IBM and Compaq—he admits he has never encountered such a steep price surge, describing it as a “hundred-year flood.”