Apple has raised prices on some of its most popular products, including the MacBook and iPad, due to the rising costs of memory and storage chips sparked by the AI boom.
Price Increases
The price increases affect the Neo, its entry-level MacBook, which is now priced at $699, up from $599. The cheapest iPad now costs $449, up from $349, and the iPad Mini is getting a $100 increase to $599. Other increases include the Apple TV, which now costs $199, up from $129, the Apple Vision Pro headset, which is $3,699, a $200 increase, and the HomePod speaker, which is $349, up from $299.
Apple said that the growing number of AI data centers has created an extraordinary surge in demand for memory and storage, and that the company has never seen a component price increase this much, this quickly. Apple shares fell 4.5% on Thursday morning, on track for their worst day in four months.
Apple CEO Tim Cook had warned of an upcoming sticker shock and that price increases were unavoidable due to memory chip shortages. The prices of chips, as well as demand, have increased because of the massive number of AI data centers being built, prompting companies like Micron to post blockbuster earnings.
Original reporting: KRDO (Colorado Springs metro) — read the source article.
