These early days of AI development are filled with promises, potential, excitement, hallucinations, and abominations. These early days are also costing us a lot of money, too. Take RAM, for example. Prices have skyrocketed because demand has skyrocketed, thanks to AI infrastructure needs. So far, the Apple consumer hasn’t been affected, but that could change soon.
Analyst Ming-Chi Kuo recently posted an analysis of the RAM market and how Apple could handle the situation surrounding its most important product, the iPhone. The TLDR version: Kuo thinks Apple will do what it can to “at least keep the starting price flat” for the iPhone 18 release this fall. According to Kuo, Apple may be willing to take a hit to its margins in the short term to tempt buyers as Android manufacturers increase their prices. The lost revenue could be made up through its Services division, he suggested.
Apple’s Services have been posting record quarters for some time now, and its margins are probably quite favorable for Apple (and mostly unaffected by rising component costs). So Kuo’s idea makes sense, but–stepping outside of Kuo’s analysis now–can Services revenue really grow enough to offset the increased cost? It’s hard to tell what’s going to happen, not just with the RAM market, which Kuo expects to continue throughout 2026, but with anything in the supply chain. (Kuo reports that “other components could also run short as the AI server boom continues to squeeze the rest of the supply chain.” And I’m not even considering any possible tariffs.)
Even without knowing Apple’s strategy, budgets, and internal numbers, it seems like hardware price increases must happen at some point, and the Mac seems like a product where Apple could raise prices. If Apple is adamant about keeping iPhone prices flat, Macs are a big enough market to help maintain Apple’s overall profitability, but small enough so that any negative response or a decrease in sales can be absorbed in the short run. Plus, it’s the only product where RAM is sold separately, so Apple has some flexibility with pricing.
During Apple’s first quarter 2026 financial results call, Apple CEO Tim Cook was asked about the effect of the RAM situation on Apple. “We are currently constrained, and at this point it’s difficult to predict when supply and demand will balance,” he said. “At this time we’re seeing less flexibility in the supply chain than normal, partly because of our increased demand.”
Cook also noted that while “memory had a minimal impact” on the first quarter that just finished, he does expect “it to be “a bit more of an impact” going forward, with wholesale pricing for memory “increasing significantly.” Cook didn’t comment specifically on how RAM and other supply chain issues will affect pricing, only to say Apple will “look at a range of options to deal with that.”
Later this year, Apple reportedly will be releasing a revamped MacBook Pro with M6 chips, OLED touchscreen displays, and a thinner design. Higher prices for these laptops won’t fly under the radar, but they would certainly be camouflaged by the dramatic product changes. With the supply change issues now affecting production, it seems like ideal timing for a Mac price increase in the second half of this year.
So if you’re planning on buying a Mac later this year, be prepared. Or buy one now. And if nothing happens, well, then, take that cash you saved and buy yourself some new AirTags.
