Towards a sharp price increase, but Apple will have a trick to make it accept

According to analyst Ming-Chi Kuo, the iPhone 14 Pro should be much more expensive than the iPhone 13 Pro at the time. This would be even more true in France. Apple will still make a small compensation for passing the pill.

3D rendering of iPhone 14 Pro by Let’s Go Digital and Technizo Concept. // Source: Let’s go digital / Technizo Concept

As expected, the tech industry is heading straight for a price increase in general. For Apple, it’s out of the question to touch the sacred margins that made the company rich. Therefore, it should be necessary to increase the prices of products, starting with the iPhone 14 Pro.

Up to 15% price increase

Analyst Ming-Chi Kuo came to the same conclusion. When it comes to Apple and its sources of supply, the specialist has publicly handed over his information on Twitter.

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Hon Hai/Foxconn is one of the winners in the growing ASP category for the iPhone 14 series. It is estimated that the iPhone 14 series ASP will increase by about 15% (versus the iPhone 13 series ASP) to $1,000-1,050 due to the higher price of the iPhone 14 Pro and the higher percentage Shipping. https://t.co/UgiW0kom4F

– 郭明 (Ming-Chi Kuo) (mingchikuo) August 10, 2022

We can read there that the average price of the iPhone 14 range should be on the rise. According to Ming-Chi Kuo, this increase will be about 15% compared to the launch prices of the iPhone 13 line. The average price will come to $1,000 to $1,050, mainly due to the increase in the higher iPhone 14 Pro and iPhone 14 Pro.

Youtube link

Bigger increase in France

The iPhone 13 Pro was launched in the United States at a price of $ 999 and in France at a price of 1159 euros, at a time when the dollar and the euro were not equivalent. If the US rate rises to $1099, we wouldn’t dare imagine what the French tariff would offer, incorporating both the new euro clause and this price increase.

At the current conversion rate, the $1,099 price gives 1,067 euros excluding VAT, without incorporating VAT, customs duties or various taxes such as those levied on private copies. This should give a French price close to 1299 euros for the iPhone 14 Pro.

Apple’s trick to digest the increase

This change from 1159 to 1299 euros, many of you can accept without flinching. For this, Apple will have a trick that the brand has already used in the past.

According to TrendForce, the iPhone 14 Pro should incorporate 256GB of storage by default for the first configuration, versus 128GB for the iPhone 13 Pro.

iPhone 14 Trendforce Specifications
iPhone 14 supposed features // Source: Trendforce

Today, it takes 1279 euros to buy the iPhone 13 Pro 256 GB. If our calculations are correct, this may give the impression that the iPhone 14 Pro 256 GB at 1299 euros is “only” 20 euros more expensive than the iPhone 13 Pro in equivalent capacity. Which gives the impression that Apple has simply removed the least profitable configuration.

Obviously, this means forget that the meaning of history in computing goes to increasing capabilities for a falling price. Every year, computers of all sizes, from smartphones to laptops, deliver more performance, more RAM, and more storage space at a fixed price. Hiding price increases by changing storage configurations is not the trend of history.

See you in September to discover Apple’s options.


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