Apple will have to pay more for its iPhone and Mac chips from 2027 onward, as long‑term supply chain partner TSMC increases base prices by up to 10%.

TSMC will raise chip base prices between 5% and 10% to cover higher equipment, material, and expansion costs. The new pricing, agreed in July, will take effect at the start of 2027. TSMC says the move is strategic, not opportunistic, and it will continue to work closely with clients to "sell our value to them."

The hike will affect all nodes, from mature 12 nm to advanced 7 nm and below, and customers ordering more chips than forecasted face an extra premium of 10–15%. Apple, as a major long‑term client, is expected to receive a rate closer to the lower end of the increase. The memory price surge also pressures Apple, but it has been mitigating those costs.

An example of the impact: the iPhone 18 Pro Max’s bill of materials could reach nearly $1,000 per unit, about $300 higher than the iPhone 17 Pro Max, mainly due to NAND and DRAM costs. TSMC had warned of a 3–10% hike for sub‑5‑nm fabrication in late 2025.