iPhone 15: Could Apple raise prices this fall?

Remember when the first iPhone came out in 2007 and cost a whopping $499? It was a lot of money back then, but that was just the beginning. The price of Apple’s iconic product has risen steadily, sometimes dramatically, due to a wide range of factors, such as improvements in technology and features, as well as inflation. As a publicly traded company, Apple also faces constant pressure to continue growing its booming iPhone business, which accounts for nearly half of its revenue. But how much more can Apple charge for its iPhones?

The iPhone has only become more expensive in the past 15 years, even taking inflation into account. The upward trend in iPhone prices, however, is neither consistent nor predictable. Apple adjusts its pricing strategy based on a variety of factors, including consumer demand, competitive pressures and inflation, which tend to increase the cost of producing an iPhone.

Learn more: Apple Announces iPhone 15 September Event “Wonderlust”

Despite the slowdown in the smartphone market, Apple seems confident in its ability to charge more for its iPhones this year. According to various rumors and reports, the iPhone 15 Pro and iPhone 15 Pro Max could see their price increase by $100 or even $200 compared to the iPhone 14 models – in the United States. Apple could justify this price increase by offering exclusive features and improvements for the Pro models, such as a titanium body, a faster processor, thinner bezels and a better camera.

Learn more: iPhone 15 rumors: All the buzz about Apple’s next phone

Last year, Apple raised prices outside the US, in some Asian and European countries whose currencies had fallen against the dollar ahead of the 2022 iPhone event. UK buyers faced an increase price of around $85 for the iPhone 14, which starts at £849 compared to the £779 price of the iPhone 13. Meanwhile, the Japanese had to pay one of the highest prices in the world , or about $150 more, mainly due to the fall of the yen. But the iPhone 14 hasn’t seen a price hike in mainland China, Apple’s biggest market outside the United States, despite a falling yuan in the country. Still, major retailers have reportedly cut prices for iPhone 14 models due to a drop in demand for smartphones in this country.

The price Apple will set for the next iPhone 15 isn’t guaranteed until Apple reveals those details at its event in September. Industry analysts polled by CNET a few weeks after Apple’s 2022 event said it would be difficult for the tech giant to raise prices for its products. regular iPhone models in 2023, given the looming risk of recession at the time, as well as Apple’s success with expanding installment plans.

“I’m sure the engineering team would love to incorporate more sophisticated components into the product to set it apart from the competition,” said Bryan Ma of the International Data Corporation in November last year. “But if the macroeconomic gloom persists a year from now, it will be at odds with consumers’ ability to keep up, even though Apple fans tend to be more resilient and premium users.”

Learn more: Your next iPhone will probably need a new charging cable

How the price of the iPhone has changed over time

Today’s iPhones are significantly more expensive than Apple’s early models. However, over its 16-year lifespan, the steepest series of price increases has occurred in the past seven years. In 2016, the price jumped to $649 for the iPhone 7. The following year Apple charged $50 more for the iPhone 8, and in 2018 the iPhone XR was $50 more ( starting at $749).

When Apple launched the iPhone 11 in 2019, the price fell back to $699, making it the cheapest phone the tech giant had launched in two years at the time. But this break did not last long. The following year, the iPhone reached its highest price ever: $829 for the iPhone 12 – thanks in part to the introduction of 5G. This means that in six years, the starting price of a “classic” iPhone has increased by $180 in face value, without taking inflation into account. (You can scroll down to our chart that tracks Apple’s iPhone price changes from 2007 to 2022.)

To be fair, Apple hasn’t raised the prices of the standard iPhone and professional iPhones in the two years since the iPhone 12. But it has used some smart pricing strategies that make it more expensive to buy the flagship iPhone line. For example, Apple launched the iPhone 12 Mini in 2020. It cost $729 unlocked, which drops to $699 if you activated it on a carrier at the time of purchase. This means the Mini sells for exactly the same price as the previous year’s iPhone 11, even though the former is a smaller device positioned as a more budget-friendly option. Fast forward to 2022, and all of a sudden the Mini disappears from the iPhone lineup. (Apple ditched it in favor of the iPhone 14 Plus.) Without the iPhone 14 Mini, the purchase price for the iPhone 14 series is now $829. That’s $100 more than last year’s purchase price.

For the iPhone 15, the purchase price of the next flagship line or the price of the standard iPhone 15 is currently expected to remain the same, according to analysts and rumors. However, as mentioned earlier, the prices of the Pro models could see an increase, either through a higher base storage variant or an actual price hike.

According to a MacRumors report, citing Barclays analyst Tim Long, the iPhone 15 Pro could cost $100 more than the iPhone 14 Pro, while the iPhone Pro Max price hike could be $100 more. order $100 to $200 more. A similar claim was made by Jeff Pu of investment firm Haitong International Securities, who said the iPhone 15 Pro Max was specifically expected to see a price increase, according to another MacRumors report. This is based on the assumption that Apple will add more features and components to the Pro models, such as a new periscope camera, titanium frame, and 3-nanometer A17 Bionic chip.

Despite a possible increase in iPhone prices in the United States, Americans don’t feel the pressure as much, as carriers typically offer discounts and subsidies, slashing hundreds of dollars off the list price to encourage upgrades. level. In fact, for the iPhone 14 line, AT&T is offering a “free” iPhone 14 when you trade in an older iPhone. Trading in an iPhone 13 Pro Max 128GB will get you the full value of the transaction as long as everything works and nothing is broken. This year, it’s likely that AT&T will “slash” the iPhone 15 Pro Max by $1,000, given its track record for the past few years.

Learn more: Best AT&T phone deals: Up to $800 off new phones from Apple, Samsung and more

It’s no secret phone prices have gone up as technology has advanced. New features like 5G, advanced cameras, and foldable screens are making phones more expensive. Fortunately, even Apple’s most expensive iPhone is still cheaper than foldable phones like the Galaxy Z Fold 5, which starts at $1,800 without a trade-in. But it’s getting closer. Case in point: The highest storage variant of the iPhone 14 Pro Max (1TB) will set you back $1,599 — and that’s before you add in sales tax, AppleCare, a phone case, and the like. you might need to use your new iPhone. .