Apple has sharply raised the starting prices of multiple MacBook and iPad models worldwide, including in India, with increases ranging from 20% to 42% over their original launch prices. Apple has increased the prices of its M5-powered MacBook Pro range in India by almost 20%, as reflected in the updated listings on its official website. The 14-inch MacBook Pro with the M5 Pro chip now has a starting price of ₹2,99,900, compared to its initial launch price of ₹2,49,900, according to news agency PTI.
The iPad Air has experienced an even sharper price hike. The base 13-inch iPad Air is now priced at ₹1,19,900, representing a 41.22% increase over its original launch price of ₹84,900.
Counterpoint Research Co-founder and VP of Research Neil Shah said the price increases, impacting products including the MacBook Air, MacBook Pro, iPad Air, and iPad Pro Wi-Fi, are occurring in the context of rising semiconductor chip costs, from memory components to processors.
In a statement, Apple said that after protecting customers from price increases until now, the company has reached a stage where such a step is necessary because of the rapid growth of AI data centers, which has led to an exceptional spike in demand for memory and storage.
“The rapid expansion of AI data centres has created an extraordinary surge in demand for memory and storage. We have never seen a component price increase this much, this quickly. We have shielded our customers from these increases so far, but we have now reached a point where we need to begin raising prices on a number of products, including today's increases for iPad and Mac.”
"We know this is not welcome news, and we are working tirelessly to find solutions."
The company has kept prices unchanged for the iPhone, Apple Watch, and AirPods, but suggested that further price changes could be coming for other products in the future, according to Bloomberg.
Shares sink
Following the price increases, Apple's shares tumbled as much as 6.2% to $274.86, marking their steepest intraday decline since April 10, 2025, Bloomberg reported. During the company's second-quarter earnings call, Apple executives warned that memory shortages were expected to intensify through the remainder of the year.
Earlier this year, CEO Tim Cook said the supply crunch was already affecting product availability, with several Mac models facing prolonged constraints and shipment delays. While the iPhone has been relatively less impacted by memory shortages, Cook noted that the device has been grappling with supply issues tied to its primary processors.
"We're not at the point where we're saying this is going to end anytime soon," Cook said in April, adding that the shortages were likely to persist for "several months," according to Bloomberg.
Apple plans to introduce a new range of smartphones in September, featuring a foldable model expected to cost more than $2,000, alongside the iPhone 18 Pro and iPhone 18 Pro Max, which are anticipated to incorporate higher-priced camera components.
Bloomberg Intelligence stated in a note that they anticipate iPhone prices to rise, most likely focusing on the Pro models, where demand is less affected by price changes and a $100 increase could compensate for 78% of the additional costs.