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Apple, Microsoft Hike Prices as AI Drives Memory Chip Shortage

Apple said memory and storage chip costs driven by AI demand forced the increases, with some Mac and iPad models rising by $100 to $300.

  • On Thursday, June 25, 2026, Apple CEO Tim Cook announced price increases across Mac and iPad lineups, citing an "extraordinary surge" in memory and storage costs driven by AI datacenter demand.
  • Industry experts dubbed the supply crisis "RAMageddon," as memory prices surged up to 98% in the first quarter of 2026 due to extreme demand from AI datacenter construction.
  • The starting price of the MacBook Air rose to $1,299 and the MacBook Pro to $1,999, prompting Apple stock to fall nearly 6% on Thursday following the announcement.
  • Separately, Microsoft announced worldwide Xbox console price increases effective August 1, 2026, reporting that memory and storage chip costs have surged by a factor of 2.5.
  • Incoming CEO John Ternus assumes his role September 1, 2026, just before the iPhone launch, as analysts warn of potential price hikes on Apple's flagship device later this year.
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udgtv broke the news on Thursday, June 25, 2026.
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