Apple unveiled its latest line of iPhones on Wednesday, announcing higher prices for both new and some existing models amid ongoing inflation pressures related to artificial intelligence demand. Departing from its usual pattern, the tech giant introduced only three new, premium-tier iPhones this year, without releasing a new base-level model.

The updated iPhone 18 Pro and Pro Max will start at $1,199 and $1,299 respectively, marking a $100 increase from the comparable 2025 versions. Additionally, Apple launched the iPhone Duo, a folding phone that unfolds like a passport to provide a larger display. The Duo begins at $1,999, with a higher-storage variant priced at $3,199.

Contrary to the company’s standard practice of lowering prices on older models when newer ones are released, Apple increased the price of the one-year-old iPhone 17 by $100, bringing it to $899. New iterations of the company’s lower-cost models, including the base-level iPhone 18, are anticipated to arrive early next year, and analysts predict these will likely see price hikes as well.

The broader consumer electronics industry has been experiencing price inflation over the past year, largely driven by rising demand for computer chips due to the expansion of data centers supporting artificial intelligence applications. This has impacted supply chains and increased manufacturing costs. Earlier this year, Apple also raised prices on MacBook laptops and iPads.

Industry analysts and certain mobile carriers have expressed concerns that higher prices may dampen consumer demand for new smartphones in the United States. While Apple’s pricing reflects the shifting market dynamics influenced by AI-related chip supply constraints, the company’s approach signals a strategic focus on premium and innovative devices in a challenging economic environment.