iPhone 18 Pro BOM Cost Expected to Surge Nearly 40%, Leaving Apple to Sacrifice Margins to Sustain Shipments TrendForce’s latest research indicates that rising component costs, particularly memory prices, will significantly increase the bill of materials (BOM) for Apple’s upcoming iPhone 18 series. The 256 GB model’s BOM cost is projected to rise by approximately 38% compared to the previous year, forcing Apple to potentially reduce gross margins to avoid stifling consumer demand. This strategy aims to balance higher production expenses with maintaining shipment volumes and market share. Analysis of the 256 GB iPhone Pro models over the past two generations reveals a dramatic shift in cost composition. Memory’s share of total BOM costs has surged from around 10% a year ago to about 34% in the third quarter of 2026, with expectations of exceeding 40% in the first half of 2027. This marks a departure from earlier trends where the application processor (AP) and display were the primary cost drivers. Memory’s dominance is attributed to its steep price increases, which have outpaced other components. TrendForce estimates that the BOM cost for the 256 GB iPhone 18 Pro, set to launch in the third quarter of 2026, will be 38% higher than its 2025 predecessor. If memory prices continue to climb, the BOM cost could rise further in 2027. To mitigate this, Apple is likely to adopt a pricing strategy similar to its recent MacBook launches, sacrificing part of its gross margin to soften price hikes for the iPhone 18 lineup. This approach could help preserve shipment volumes and prevent a sharp decline in consumer demand. The company may also revisit its pricing strategy for older iPhone models, potentially raising their prices alongside the new generation’s launch.#apple #memory_prices #iphone_18_pro #trendforce #smartphone_production
TurboQuant isn't the RAM crisis savior you're hoping for, analysts say — as memory prices continue to look bleak Where are we now with the RAM crisis? It's still bleak, despite some positive glimmers of late — and I wouldn't rely on TurboQuant to save the day. #RAM_crisis #RAM #crisis #memory_prices #prices_continue #analysts #crisis_savior
Framework says stabilising memory prices are a 'temporary reprieve' and there are more cost increases to come this year It ain't over yet, folks. #memory_prices #folks #cost_increases #temporary_reprieve #stabilising_memory
Trendforce says DDR5 RAM kit prices have fallen 'sharply' in US, Europe and China but that contract memory prices 'remain stable' We're not seeing much evidence of cheaper DDR5 kits ourselves, though. #RAM #memory_prices #RAM_kit #remain_stable #contract_memory #sharply
Global PC sales forecast to dip by 5% in 2026 due to spiralling memory prices But that's PCs as a whole, gaming PC sales might buck the trend. #Global #memory_prices #sales #spiralling_memory #sales_forecast
'There is no scenario where memory prices correct in the second half' of 2027, according to new market research It's times like these we'll long to forget. #half #memory_prices #market_research #prices_correct #forget #scenario
64GB of DDR5 RAM now costs more than a MacBook Air - memory prices have surged 300% in just six months 64GB of DDR5 RAM surges from the low $200s to over $1000 in six months, with prices still climbing. #RAM #Air #months #memory #memory_prices #MacBook_Air #RAM_surges
The three big players in computer memory are all building new factories but it probably won't help DRAM prices until 2028, if then Micron, SK Hynix and Samsung are all tooling up, but don't expect PC memory prices to improve for years to come. #DRAM_prices #big_players #computer_memory #Micron #memory_prices #DRAM #Hynix
