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Apple CEO Tim Cook has warned that surging demand for memory chips, fueled by the artificial intelligence boom, will force the company to raise its product prices.
Cook made these comments in a Wednesday interview with the Wall Street Journal. He said Apple has tried to shield customers from higher costs, but that it is no longer possible.
"Unfortunately, price increases are unavoidable," Cook told the newspaper.
He did not say which devices would be affected, how much prices would rise, or when the changes would happen. Apple’s next big product launch is expected in September with the iPhone 18 lineup.
Cook pointed out that there is a growing gap between chip supply and consumer demand. He said memory suppliers are raising their prices sharply. "There's less supply at a time when consumers want devices and the memory guys are passing along huge price increases,he said.
According to the Wall Street Journal, research firm TechInsights estimated that Apple would need to raise the price of its iPhone Pro model by $270 to keep its current profit margin.
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The fast growth of AI data centers has pushed up the cost of memory chips and RAM, which are used in almost all electronic devices. Since late 2025, chip prices have gone up by at least 50% each quarter.
Cook, who has spent his career working in electronic supply chains, including jobs at IBM and Compaq before joining Apple, said he has never seen a price spike this big. He called it a "hundred-year flood."
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