The company says it can no longer absorb rising memory and storage costs, with industry experts warning iPhones could be next.

Apple has increased prices of its iPad and MacBook models by up to $300 in the US, with Indian consumers facing hikes of as much as ₹70,000 on select variants. The move, announced on Thursday, comes as the artificial intelligence boom continues to drive up memory and storage chip costs.

The company said it had been shielding customers from these rising costs for months but has now reached a point where passing on the increase is unavoidable.

"From dynamic RAM to storage chips, we have never seen such a sharp and steep increase in the price of any component," Apple said in a statement. "We have been absorbing these increased costs, but we have now reached a point where we have to start raising prices for our products."

 India Prices: MacBook Pro Sees ₹70,000 Hike

The price increases are steep across the board, with the MacBook Pro bearing the brunt of the hike in India:

| Model | Launch Price | New Price | Increase |

| MacBook Neo | ₹69,900 | ₹79,900 | ₹10,000 |

| MacBook Air 13-inch (M5) | ₹1,19,900 | ₹1,49,900 | ₹30,000 |

| MacBook Air 15-inch | ₹1,44,900 | ₹1,79,900 | ₹35,000 |

| MacBook Pro 14-inch (M5, 16GB RAM) | ₹1,69,900 | ₹2,39,900 | ₹70,000 |

iPad models have also seen significant price hikes:

| Model | Launch Price | New Price | Increase |

| iPad Air 11-inch (M4) | ₹64,900 | ₹89,900 | ₹25,000 |

| iPad Pro (256GB, M5) | ₹99,990 | ₹1,39,900 | ₹39,910 |

The price hikes affect Apple's best-selling MacBook Air and MacBook Pro configurations. The company also increased prices for its HomePod smart speakers and Apple TV set-top boxes.

 iPhones Could Be Next, Experts Warn

The iPhone has so far been spared from the price hikes. But analysts say that may not last.

"iPhone is not immune to this," said Nabila Popal, senior research director at IDC. "Prices are likely to increase soon."

Experts believe Apple strategically announced the price hikes ahead of its fall iPhone launch to ensure headlines at launch focus on the new phone's value rather than price increases.

 Market Reacts: Apple Shares Drop 5%

The announcement sent shockwaves through the market. Apple's shares fell nearly 5%, while competitor Dell's stock dropped over 8%.

 The 'RAM-geddon' Crisis

The price hikes stem from what industry experts are calling a 'RAM-geddon' — a massive supply crunch driven by AI data centre development.

Memory manufacturers like Micron have prioritised orders from AI chipmakers like Nvidia over the past several months, locking in long-term supply agreements. Micron announced on Wednesday that it had secured $22 billion in long-term commitments from customers seeking to guarantee their memory supply.

According to industry tracker TrendForce, DRAM prices surged by as much as 98% in the first quarter of 2026, with another 58% to 63% increase expected in the current quarter.

Impact on Device Sales

The rising costs are expected to hit device sales hard this year. IDC estimates the smartphone market could see its biggest annual decline — around 14% — while the PC market could shrink by 11.3%.

Apple's strong relationships with suppliers have provided some relief compared to competitors, according to experts. But even the world's most valuable consumer electronics company has not been able to escape the supply chain crisis entirely.