iPhone 18 Pro Max could get pricier as parts costs jump nearly $300

In a report published last week, Counterpoint compared the estimated component costs of the 1TB 18 Pro Max with those of the 1TB 17 Pro Max and found memory chips to be the biggest driver of the increase.

The 18 Pro Max’s storage chip alone is expected to cost more than $250 per device, accounting for about half the estimated total component cost of the 17 Pro Max. Memory chip prices are also expected to climb sharply as AI data center expansion drives global demand for semiconductors, MacRumors reported.

Counterpoint said Apple's transition to a 2-nanometer processor would be the second-largest contributor to higher manufacturing costs.

Camera components are also expected to become slightly more expensive because of new technology, likely referring to the variable-aperture main camera widely rumored for the Pro models.

However, Counterpoint said display panels and several other components are expected to become cheaper, partly offsetting the increases.

Rendered images of the iPhone 18. Photo from X

It expects Apple to apply different price increases across storage variants instead of raising prices uniformly, helping preserve profit margins on higher-capacity models.

"Even with an average $200 retail price rise, the iPhone 18 Pro Max is still expected to deliver a slightly lower gross margin than the iPhone 17 Pro Max in 2025," it said.

The analysis comes weeks after Apple raised prices on 14 products, including every Mac and iPad model, as well as the Apple TV, HomePod, HomePod mini and Vision Pro. The company attributed those increases to a memory chip shortage driven by AI data center demand. Prices for iPhones, Apple Watches and AirPods were unchanged.

The 18 lineup, expected to debut this fall alongside Apple's first foldable iPhone, is widely expected to be Apple's next product line to receive a price increase.

The Wall Street Journal previously reported that the 18 Pro could start at as much as $1,399, up from $1,099 for the 17 Pro, citing estimates that Apple's memory chip costs could rise sharply.

Apple CEO Tim Cook told the newspaper the company is "still working through" which products will receive price increases.

J.P. Morgan expects Apple to limit the price increase for the base 18 to no more than $50 while offsetting part of the higher manufacturing costs through other measures.

Separately, market intelligence firm IDC estimated the 18 Pro and Pro Max could each cost about $200 more than their predecessors.