Apple Inc (NASDAQ:AAPL, XETRA:APC) shares fell more than 6% on Thursday after the company announced price increases across several MacBook and iPad models, marking its first formal move to pass rising memory and storage costs on to consumers amid intensifying AI-driven demand for components.
The decline represented Apple’s steepest single-day drop since April 2025, as investors reacted to both the scale of the price increases and the possibility of further adjustments ahead. Apple’s online store was briefly taken offline Thursday morning before returning with updated pricing across its hardware lineup.
Among the changes, the entry-level MacBook Neo rose from $599 to $699, the MacBook Air 512GB increased from $1,099 to $1,299, and the MacBook Pro 1TB climbed from $1,699 to $1,999.
On the tablet side, the iPad Air 128GB increased from $599 to $749, while the iPad Pro Wi-Fi 256GB moved from $999 to $1,199.
In a statement, Apple said the consumer electronics industry is facing “an unprecedented challenge” due to a rapid surge in demand for memory and storage driven by AI data center expansion.
The company said it has “reached a point where we need to begin raising prices on a number of products,” adding that further increases remain possible.
Wedbush analysts described Apple’s move as a response to what it called a “memory storm,” noting that average selling prices for Mac computers rose roughly 15% to 20%, and iPads increased between 15% and 25%.
The firm highlighted the MacBook Air’s $200 increase, the MacBook Pro’s $300 increase, and the MacBook Neo’s $100 increase, while noting that iPhone pricing remained unchanged.
The firm wrote that previous cost pressures had largely been absorbed through inventory and supplier leverage, but argued that the current environment has become “unsustainable,” echoing Apple CEO Tim Cook’s description of price increases as “unavoidable.”
Wedbush added that while Apple is well positioned to pass on higher costs given its premium customer base, continued inflation in memory and storage could force additional pricing actions.
Wedbush also pointed to supply chain implications, noting that Apple’s recent partnership with Intel could play a role in reducing exposure to component shortages and diversifying manufacturing capacity. The firm framed Apple’s broader US manufacturing commitments as part of a longer-term strategy to secure chip supply amid what it described as a multi-year AI-driven hardware cycle.
Wedbush maintained its 'Outperform' rating on Apple with a $400 price target, even as shares lower to about $274 on Thursday in response to the pricing changes and concerns over demand elasticity.