It’s not long now until Apple’s traditional iPhone launch window in September. Aside from all the talk of a heavily-rumoured foldable iPhone, the biggest talking point is how much the new iPhones will cost. Ongoing memory shortages and component price increases have driven technology prices up, with a new report taking a stab at just how much more an iPhone 18 Pro could cost to manufacture.
According to tech analyst firm TrendForce, the core components of Apple’s upcoming ‘Pro’ iPhone cost roughly 38 per cent more than those of last year’s iPhone 17 Pro. This is an estimate based on the expected bill of materials (BOM) cost of a 256GB iPhone 18 Pro, with memory the biggest cost driver.
A bill of materials refers to all of the parts that go into a device. For a phone, it includes the memory, display, processor, and every other component within the handset. Based on TrendForce’s estimates, where the processor and screen were once a phone’s costliest parts, memory is now well and truly the most expensive component.
But how much will this reported increased manufacturing cost impact retail prices? TrendForce suggests that Apple might absorb some of the costs by “sacrificing part of its gross margin to soften price increases for the iPhone 18 lineup”.
However, this move likely won’t shield customers from the checkout come new iPhone season. Outgoing Apple CEO Tim Cook previously claimed that “unfortunately, price increases are unavoidable”, citing an “unsustainable” supply chain situation.
Cook’s comments were backed up by an analysis published in The Wall Street Journal, which pointed to a potential US$200 price increase for the iPhone 18 Pro. For Australians, everything likely points to a starting price well above $2,000. We’ll know for certain once Apple confirms its new range in the coming weeks.
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