A severe global shortage of DRAM is starting to squeeze Apple’s profit margins, and the iPhone 17 could be the first casualty. With the next-gen lineup requiring significantly more memory for new AI features, component costs are spiking just as supply dwindles.
iPhone 17 Pro will be forced to end of the era 999
While Apple has historically absorbed manufacturing price hikes to keep costs steady for users, experts warn that this surge is different. As the silicon crunch intensifies, Apple may finally be forced to pass the bill to consumers, potentially ending the era of the $999 Pro iPhone.
iPhone 17 Pro shocked on a new supply chain
A shocking new supply chain report has put a hard number on Apple’s manufacturing headache, and the math is brutal. The cost of the cutting-edge 12GB LPDDR5X RAM—the critical memory needed to power the upcoming iPhone 17 Pro—is skyrocketing.
According to the data, these memory modules, which previously cost between $25 and $29 per unit, have suddenly jumped to $70.
For any manufacturer, seeing a core component more than double in price is a financial nightmare. But for Apple, which produces millions of units, this creates a massive hole in the profit margin per device. While Cupertino has deep pockets, absorbing a $40+ loss on every single handset sold is a strategy that defies business logic.
This 230% spike makes a price hike for the iPhone 17 Pro look less like a rumor and more like a mathematical necessity. If these costs hold, consumers should brace for the reality that “Pro” performance is about to come with a much steeper price tag.
Apple has famously used long-term contracts as a shield against rising costs, but that defense is about to crumble. Reports indicate that Apple’s critical supply agreements with memory giants SK Hynix and Samsung are set to expire in January 2026.
This timing leaves Apple vulnerable. Once these contracts end, Cupertino will be forced to renegotiate during a market peak. With current conditions driving prices up, the days of securing RAM for $25 are likely over, forcing Apple to face a new, expensive reality that it can no longer sidestep.
