As Apple moves closer to its 2026 iPhone roadmap, new analyst insights suggest that iPhone 18 pricing could change in a very specific way. According to a recent Morgan Stanley Apple report (2026 outlook), Apple is expected to keep the base iPhone 18 price stable, while raising prices on high-storage models due to sharply rising memory and manufacturing costs.
Will iPhone 18 Price Increase in 2026?
The short answer: not for the base model — but possibly for higher storage tiers.
Morgan Stanley analysts believe Apple will avoid raising the headline price of the standard iPhone 18 to protect demand and market share. Instead, Apple is expected to shift pricing pressure to optional upgrades, especially storage configurations.
This pricing strategy aligns with Apple’s historical approach:
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Keep entry prices stable
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Protect Apple profit margins through configuration-based pricing
It’s also worth noting that Apple’s base iPhone 18 may follow a different release timeline. Current supply-chain signals suggest the standard iPhone 18 model could be delayed until 2027, while higher-end variants arrive earlier.
If you want a deeper breakdown of Apple’s launch strategy and why the base iPhone 18 might wait an extra year, you can read our full analysis here:
Why the Standard iPhone 18 Might Launch in 2027 While Pro Models Arrive in 2026.
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Shop NowWhy Is Apple Raising Prices Only for High-Storage iPhone 18 Models?
The core reason is memory cost inflation.
Key cost pressures highlighted by Morgan Stanley:
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NAND flash prices are projected to rise 30–50% by 2026
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DRAM inflation is accelerating due to AI servers and reduced supplier capacity
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Apple’s previously locked-in low-cost memory inventory is expected to be depleted
As a result, iPhone 18 storage cost becomes a major variable — especially for 512GB and 1TB models.
This creates what some analysts call a “storage tax”: users who want more storage pay disproportionately more.
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The “Storage Tax”: Why 512GB and 1TB iPhone 18 Models Are at Risk
Morgan Stanley’s report (led by Apple analyst Erik Woodring) highlights a structural shift in Apple’s cost base.
By 2026:
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Memory suppliers regain pricing power
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Apple absorbs base-model costs to maintain volume
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Premium buyers shoulder rising component expenses
Expected iPhone 18 Pricing Trends (Prediction)
| Model Tier | Expected Price Trend | Primary Reason |
|---|---|---|
| iPhone 18 (128GB / 256GB) | Stable / No Increase | Market share & volume protection |
| iPhone 18 Pro (512GB / 1TB) | +$100 to $200 | NAND & DRAM cost surge |
| iPhone 18 Ultra / Fold | Premium pricing | 2nm A20 chip manufacturing cost |
How the Apple A20 2nm Chip Impacts iPhone 18 Pricing
Beyond memory, Apple’s transition to a 2nm A20 chip introduces another cost layer.
Compared with 3nm:
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2nm yields are lower in early production
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Wafer costs are significantly higher
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Advanced packaging increases complexity
While Apple is unlikely to pass these costs onto base models, premium iPhone 18 variants are more exposed — reinforcing the case for higher prices at the top end.
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Memory Price Trends 2026: Why Smartphones Are Getting More Expensive
The iPhone 18 is not alone. Across the industry:
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AI data centers are consuming massive DRAM volumes
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NAND suppliers have reduced output after previous downturns
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Smartphone makers face renewed cost pressure
For Apple, this means pricing flexibility matters more than ever, especially as hardware innovation slows and margins become harder to defend.
FAQ: iPhone 18 Pricing & Storage Costs (2026)
Will the iPhone 18 base price increase?
Morgan Stanley expects the base price to remain unchanged, likely around current iPhone pricing levels.
Why is Apple increasing iPhone storage prices?
Rising NAND flash and DRAM costs, combined with supply constraints, are driving higher storage-tier pricing.
How much more could the iPhone 18 1TB model cost?
Analysts estimate a $100–$200 increase compared with previous generations.
Does the A20 chip affect iPhone 18 pricing?
Yes. The 2nm A20 chip increases manufacturing costs, especially for premium models.
Final Thoughts
Rather than a headline price hike, the iPhone 18 pricing strategy in 2026 is likely to revolve around selective increases — targeting high-storage and premium models while keeping base prices stable.
For Apple, it’s a calculated way to manage rising component costs without hurting demand. For consumers, it means storage upgrades may quietly become the most expensive part of buying a new iPhone.
