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iPhone 18 Pro, iPhone Air 2 May Reportedly Receive a Price Hike Amid Rising Component Costs

iPhone 18 Pro, iPhone Air 2 May Reportedly Receive a Price Hike Amid Rising Component Costs

Apple is expected to pay almost as high as $280 (roughly Rs. 25,200) for the A20/ A20 Pro chipset.

Written by Shaurya Tomer, Edited by Ketan Pratap | Updated: 3 January 2026 11:11 IST

iPhone 18 Pro, iPhone Air 2 May Reportedly Receive a Price Hike Amid Rising Component Costs

The iPhone Air (pictured) successor could be more expensive than the first-gen model

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Highlights

Rising silicon wafer costs are reported to increase Apple’s chip expenses
Apple may pay nearly $280 per A20 chip, up sharply from A19 Pro
The higher chip costs could push Apple to raise iPhone 18 series prices

Apple is rumoured to introduce its next-generation flagship mobile chipset based on the 2nm node in 2026, following in the footsteps of Samsung, which unveiled the 2nm Exynos 2600 in December. The development of the purported processor, however, could make future iPhone models more expensive. According to a report, the Cupertino-based tech giant will be forced to pay more money to its chip supplier due to the rising price of silicon wafers.

Price Hike for the iPhone 18 Series

Apple is expected to launch four iPhone models in September 2026 — iPhone 18 Pro, iPhone 18 Pro Max, iPhone Air successor, and iPhone Fold 2. The purported handsets may be powered by the A20 or the A20 Pro processor, fabricated on Taiwan Semiconductor Manufacturing Company (TSMC)'s 2nm process node.

According to a recent report from Taiwan, TSMC is increasing the price of the silicon wafers, which are used as the substrate on which the materials are printed. A 2nm node typically uses a 12-inch wafer, comprising 100 individual layers, with an estimated total cost of $30,000 (roughly 27 lakh).

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For context, the wafer used during the 3nm fabrication process is priced around $20,000 (roughly Rs. 18 lakh).

Consequently, the iPhone maker is expected to pay almost as high as $280 (roughly Rs. 25,200) for the A20/ A20 Pro, which is said to be an 87 percent increase over what Apple paid for the current A19 Pro chipset; $150 (roughly Rs. 13,500). The reported number seems six times higher when compared against the $50 (roughly Rs. 4,500) A18 Pro processor.

The report suggests that Apple will be left with two choices — either absorb the additional cost and decrease its profit margin or hike the price of the 2026 iPhone models.

In comparison with TSMC, Samsung is reported to be charging 33 percent less than TSMC for the 12-inch silicon wafers. It reportedly charges $20,000 (18 lakh) for the 2nm GAA technology, which is about the same price as TSMC's 3nm fabrication process. However, the latter is believed to have a slightly higher yield, too.

iPhone Air

REVIEW
KEY SPECS
NEWS

Design
Display
Software
Performance
Battery Life
Camera
Value for Money

Good
Incredibly lightweight and super thin
Stunning display
Solid performance
Good primary and selfie cameras

Bad
A single-camera sensor at the back
Slow charging
Battery life could have been better
Mono speaker leaves much to be desired
Expensive

Read detailed Apple iPhone Air review

Display 6.50-inch

Processor Apple A19 Pro

Front Camera 18-megapixel

Rear Camera 48-megapixel

RAM 12GB

Storage 256GB, 512GB, 1TB

OS iOS 26

Resolution 1260x2736 pixels

More Apple mobiles Apple mobiles price in India

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Further reading: iPhone 18, iPhone 18 Pro, iPhone 18 Pro Max, iPhone Air 2, iPhone Fold, Apple, TSMC

Shaurya Tomer

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Shaurya Tomer is a Sub Editor at Gadgets 360 with 2 years of experience across a diverse spectrum of topics. With a particular focus on smartphones, gadgets and the ever-evolving landscape of artificial intelligence (AI), he often likes to explore the industry's intricacies and innovations – whether dissecting the latest smartphone release or exploring the ethical implications of AI advancements. In his free time, he often embarks on impromptu road trips to unwind, recharge, and ...More