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iPhone 18 Pro parts cost 38% higher – good news

9to5Mac •
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A new Trend Force analysis estimates that Apple will pay 38% more for iPhone 18 Pro components than for its predecessor, with memory costs rising roughly threefold. The Bill of Materials (BOM) cost for the 256 GB model is projected to climb 38% year‑over‑year, pushing the starting price toward $1,399.

Memory, which made up about 10% of last year’s component cost, is expected to exceed 40% next year, overtaking the display as the most expensive part. Apple is likely to absorb part of this increase to protect demand, even though Tim Cook hinted the company may not be fully committed to protecting its margins.

Analysts suggest Apple may follow its recent MacBook pricing approach, sacrificing some gross margin to soften the iPhone 18 price hike and sustain shipment volume. Bloomberg also notes a possible price increase for the iPhone 17 Pro before the next launch, indicating a broader trend of higher pricing across the lineup.

While a $300 rise would be substantial, Apple has reserved such jumps for far pricier products, and analysts believe the company will temper the increase to avoid deterring upgrades, especially as the next Pro model is expected to be a major redesign.