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Chip Crunch Price Hikes

Apple and Xbox raise prices as chip and memory costs ripple through tech.

June 25, 2026 · Updated Jun 25, 8:07pm ET

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Pano rates the coverage Mostly Center.

What happened

Apple raised prices across Macs, iPads and some home devices, saying an AI-driven surge in demand for memory and storage chips has made higher component costs unavoidable. The increases push the entry-level MacBook Neo from $599 to $699, lift some MacBook Pro and iMac models by hundreds of dollars, and leave the iPhone untouched for now. Apple described the chip market as an “unprecedented challenge” as AI data centers absorb supply, forcing one of the world’s biggest electronics buyers to pass costs on to consumers. Microsoft quickly followed with Xbox increases, underscoring how the memory crunch is spreading across consumer tech ahead of the holiday and back-to-school shopping seasons.