Recent reports suggest that the upcoming iPhone 17 series may see a price increase of $50. Jefferies analyst Edison Lee indicates that this adjustment is likely aimed at offsetting rising component costs and tariffs, marking a potential shift for Apple products that have so far maintained stable pricing this year.
Lee predicts a $50 price rise specifically for the iPhone 17 Air, 17 Pro, and 17 Pro Max models, although the regular iPhone 17 appears to be exempt from this hike. If accurate, the new starting prices would be:
- iPhone 17 – $829
- iPhone 17 Air – $979
- iPhone 17 Pro – $1,049
- iPhone 17 Pro Max – $1,249
These insights follow a May report from The Wall Street Journal suggesting Apple is contemplating price increases due to enhanced features rather than external factors like tariffs. Nonetheless, it seems that a price adjustment is on the horizon as the iPhone 17 rollout approaches this fall.
Apple’s status as the third-largest company in the US underscores the importance of its products, many of which are manufactured in China. The pervasive presence of the iPhone symbolizes the ongoing economic and political uncertainties in the US. A price hike is overdue; the last increase happened five years ago, hinting that consumers should prepare for some shifts in pricing.
Price Trends in the Standard iPhone Line
Since its launch in 2007, the standard iPhone has witnessed four price hikes and one correction. Initially priced at $199 with a $499 off-contract price, Apple raised the bar to $599 with the iPhone 3G in 2008. The iPhone 5 followed this trend with its $649 price tag in 2012, while the iPhone 8 debuted at $699 in 2017, continuing the pattern of $50 increments.
A landmark change occurred in 2020 when the iPhone 12 launched at $829, marking a significant $130 leap. Models thereafter, including the iPhone 13, 14, 15, and 16, all maintained this $829 price point. Given that the last price change was in 2020, a future increase seems almost inevitable, especially considering that Apple has never allowed six years to pass without raising prices on the standard model.
Flagship iPhone Pro Models
The iPhone Pro line debuted in 2017 with the release of the iPhone X at $999. Remarkably, this flagship model hasn’t seen a price increase for eight consecutive years. When adjusted for inflation, the price of the iPhone X would equate to $1,298 today. This historical context indicates a price adjustment is likely due for the iPhone 17 Pro.
Price Dynamics in Behemoth Models
Apple has offered larger iPhone versions since 2014, initially labeled as “Plus” and later transitioning to “Pro Max” iterations. The pricing trajectory shows that the iPhone 6 Plus started at $749, a $100 increase from its counterpart iPhone 6. The iPhone 8 Plus followed at $749, maintaining this pricing before a notable jump to $1,099 with the iPhone XS Max in 2018.
Consequently, the Pro Max variants have held steady in pricing for years, with the iPhone 15 Pro Max recently debuting at $1,199 for its 256GB model, sidestepping the previous entry-level price of $1,099 for a comparable device.
Considering all these factors, it’s evident that upcoming models like the iPhone 17 will likely carry elevated price tags. While Apple might attribute increases to enhanced features, external pressures such as tariffs are also significant. In a world where prices are always under scrutiny, the September launch event will finally reveal the specifics.
Apple remains tight-lipped about future pricing strategies, but given the company’s financial considerations, it’s reasonable to expect that new challenges may lead to adjustments across its product lineup, emphasizing an evolving dynamic within the tech landscape.