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My guess is that during a worldwide pandemic, Apple can afford paying a little more for chips than customers who need a new phone can afford a price hike.

If Apple only raises the price to customers the amount the component cost goes up, then that could almost be justifiable.

But no one in their right mind thinks Apple would raise prices just enough to cover their additional cost, or that they will lower the price again once chip prices go back down.

This will be an excuse for one of the richest companies in human history to hike prices and make more per unit in profit.
 
My guess is that during a worldwide pandemic, Apple can afford paying a little more for chips than customers who need a new phone can afford a price hike.

If Apple only raises the price to customers the amount the component cost goes up, then that could almost be justifiable.

But no one in their right mind thinks Apple would raise prices just enough to cover their additional cost, or that they will lower the price again once chip prices go back down.

This will be an excuse for one of the richest companies in human history to hike prices and make more per unit in profit.

Apple has lowered their prices *many* times.
 
Not my field at all, but is there anything to stop Apple setting up its own chip foundry themselves? Surely money isn't an issue. Would it be skilled labour preventing that idea?

That would be a years long endeavor to get up and running to the efficiency and capacity Apple needs, and with it’s own significant investment costs and risks. It’s a potential long term solution, but will do little to affect any price hikes this release cycle. Also, by the time Apple got their business up and running, the supply issues may have already dissipated, making the investment a potential waste.
 
It really depends on the levels of component price rises. Apple could potentially absorb a good chunk before it really starts to impact its margins.

Another way to look at it is that the price of a Mac has barely changed over the last 20 years. I have paid $2-2.5K for successive powerbooks / MacBook Pros. So in reality the price of Macs have gone down in relative to inflation over time.

For iPhones, the story is a bit more complicated. iPhones have got bigger so the top end units are more expensive than when I started buying them (3GS was the first model). But still the price for equivalent real estate is likely to be stable over time.
 
The initial price is only one part of the total benefit. I will pay the price. The total package is of excellent value.
 
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With Apple adding RISC-V and legally supporting x86_64 for at least 7 more years you might not be surprised eventually that ARM is the Architecture they drop first

Heard about RISC-V, Apple may eventually move to it, that won't be any time soon though.
Support for 7 years, 5 years max after the last model Intel, so probably right, but me thinks a bit earlier, like 5 years from now.
 
yes the pandemic, the disruption of economy and labor force, the resultant scarcity of elements needed to fabricate chip were really just a ruse so that Apple could increase this year’s iPhone price…

The fact that the second exchange rates weaken against the $, Apple raises their prices, yet when the opposite happens Apple doesn’t decrease their prices back to where they should be, is the reason people have this opinion and tbh I don’t blame for thinking like that.

Apple nickel and dime at every opportunity.
 
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Apple either absorbs the costs this year, or a lot of people will not be buying their kit during this years upgrade cycle

I’d like a new iPhone this year, but could easily wait a year if they jack up the prices
Well, all recent releases have shown that such wisdom does not exist amongst the Apple fan base. With the exception of the speaker, Apple customers happily paid whatever Apple asked for. I don’t think the pain threshold has been reached yet.
 
Tim couldn’t be more excited to raise prices by $50 this year so he only has to raise them next year by $50…

in all seriousness, given that many phones are paid for over 24-36 instalments even a substantial increase isn’t noticed that much.
 
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Conviniently timed to iPhone 13 announcement. Chance?, I don’t think so… and still can’t edit a the typed number on the phone “app”. Price increases but no extra value to us to compensate. How about better warranty or longer apple care?.
 
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Forgot to mention something earlier, if we, the General Public, hear about something related to Apple (as a Rumor), it very-likely means it happened 3-6 months ago !
 
Conviniently timed to iPhone 13 announcement. Chance?, I don’t think so… and still can’t edit a the typed number on the phone “app”. Price increases but no extra value to us to compensate. How about better warranty or longer apple care?.

Nope, at best, Apple will give us TWO years of FREE AppleTV+ instead :(
 
This is happening everywhere in the economy. When you have central banks and governments flooding the system with cash, we are bound to see inflation. Pretty much every CEO is talking about this on earnings calls, not just tech CEOs. There's supply side shock. Toyota just said they were cutting production by 40%. Homebuilders have been cutting production too. I'm sure Apple will do the same too. Get ready for shortages and be prepared to pay top dollar.

If you follow Michael Burry (a trader featured in The Big Short movie), he thinks we are eventually headed for hyperinflation. I agree with his prediction.
 
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