Apple hikes entry-level Mac mini price as DRAM, NAND costs surge
AAPL•Apple raised the starting price of its entry-level Mac mini and forecasts limited impact from rising DRAM and NAND costs on iPhone gross margins, as analysts may be overestimating component-price pressures. The company is prioritizing higher-margin device SKUs to mitigate memory cost increases.
1. Mac mini price adjustment
Apple raised the entry-level Mac mini’s starting price for the first time in over a year, citing sustained inflation in memory and storage components. The move underscores Apple’s strategy to maintain healthy margins by aligning product pricing with evolving supply costs.
2. DRAM and NAND cost pressures
Surging DRAM and NAND prices have fueled concerns about iPhone gross-margin erosion, but the company believes market estimates overstate the effect. By leveraging long-term supplier agreements and absorbing a portion of cost increases, Apple expects only a modest impact on overall device profitability.
3. Strategic SKU management
To counter component-cost headwinds, Apple is steering customers toward higher-margin device configurations through selective SKU availability and promotional focus. This approach enables the company to optimize revenue mix and cushion the impact of elevated memory and storage expenses.
