India, Aug. 13 -- TrendForce's latest smartphone industry research reveals that escalating component costs-led by memory-are expected to significantly raise production expenses for Apple's next iPhone 18 series.

For the 256 GB model, the BoM cost is estimated to increase by about 38% YoY, making higher retail prices unavoidable. Apple may offset some of these costs by reducing gross margins to prevent weakening consumer demand, aiming to keep prices manageable, maintain shipment volumes, and grow market share.

An analysis of the 256 GB iPhone Pro models over the past two generations shows that memory's share of total BOM cost has risen dramatically-from around 10% a year ago to approximately 34% in 3Q26, and is expected to exceed 40% in...