Microsoft announced a price increase for Xbox consoles, effective August 1, raising prices between $100 and $150 due to skyrocketing storage and memory costs tied to AI demand. The Series S will cost $500, and the Series X may reach $800. This follows two prior increases since May 2025.
Apple also increased prices for Macs and iPads after CEO Tim Cook warned of "unavoidable" hikes due to surging memory chip demand. New prices include a $100 increase for the MacBook Neo and a $200 increase for the 512GB MacBook Air.
Industry experts predict rising iPhone costs, with estimates suggesting an increase up to $200 for Pro models. Apple noted the extraordinary demand spike for memory as an unprecedented challenge for consumer electronics, affecting all manufacturers.
Chip costs have doubled in recent months and are expected to double again by late 2027, impacting various devices. Competition remains fierce among leading manufacturers, further complicating pricing strategies amid environmental challenges in the supply chain.