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Australians to pay at least 20% more for iPads and Macbooks after Apple hikes prices citing AI

Australians to pay at least 20% more for iPads and Macbooks after Apple hikes prices citing AI

Summary

Apple has raised prices on MacBooks and iPads in Australia by at least 20%, citing increased costs for computer parts driven by demand for artificial intelligence (AI). Microsoft also increased Xbox prices due to rising memory and storage costs. Retailers have not yet fully passed on these price hikes.

Key Facts

  • Apple increased MacBook Air 13-inch price from $1,799 to $2,099 and MacBook Pro 14-inch from $2,799 to $3,199 in Australia.
  • iPad prices also rose, for example, the standard iPad from $599 to $749 and iPad Pro from $1,699 to $1,999.
  • Apple’s smaller MacBook Neo, launched in March at $899, now costs $1,049.
  • Apple said it absorbed rising component costs until now, but the sharp increase forced price hikes.
  • Microsoft raised Xbox console prices by US$100 to US$150 due to rising storage and memory costs.
  • The shortage of computer chips and memory, driven by AI demand and data center growth, is leading to higher product costs.
  • Experts say the chip and memory shortage may permanently increase prices for affordable consumer devices.
  • Retailers like JB Hi-Fi still offer lower prices temporarily, but price increases are expected to spread.
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