> Realistically, Apple will eat much of the cost
No
No
Price Elasticity is very much a thing.
Who would want that?
Margins are important, but so is rate of sales. Hence the statements in the original Reuters article.
Doubt it. Keep a cheap upgrade option with an older and reduced BOM and then use the tariffs as an excuse to boost the top-of-the-line offering to $3k.
But my point is I would be very shocked if base model iPhones, lower specced Pro models, and the 16e would see a price increase beyond 15%.
At the higher tier (Pro Max, and maybe even Pro) absolutely, as those were already out of the price range of the average consumer.
I’ll also be shocked if they take much margin hit there. All of the iPhone’s competitors are also getting tariffed, after all. And the tariffs don’t bridge the labour-cost difference, so it’s not like launching domestic production would make sense even if you could trust that these policies will stick.