A new report suggests that Apple may be preparing price increases for the iPhone 18 lineup, and the culprit could be the advanced chip powering it.
Apple is expected to adopt TSMC’s cutting-edge 2nm processor in its 2026 iPhone models, and the manufacturing costs that come with this upgrade might significantly impact pricing, According to a post on Weibo from the leaker Digital Chat Station.
Digital Chat Station's credibility is rather good when it comes to Apple news. They previously reported on under-display Face ID for a foldable iPad and potential foldable iPhone prototypes—both of which are said to be in development.
A faster chip—but at what cost?
Will the new chip improvements justify a higher price? | Image credit – TSMC
This isn’t the first time we’ve heard this. Back in September 2024, analyst Ming-Chi Kuo predicted that Apple would introduce the 2nm chip—built on TSMC’s new process node—but limit it to the iPhone 18 Pro Max due to yield issues. This limitation was stated to be because early production output was too low to supply the entire iPhone 18 family.
But those yields might have improved. In March 2025, Kuo updated his forecast, citing significantly higher production success rates at TSMC—reaching 60–70% by early 2025 and rising beyond that by March. That opened the door for the chip to potentially be used across the entire iPhone 18 lineup, not just the Pro models.
If Apple does go all-in with 2nm, the performance gains could be significant. Based on early industry estimates, the 2nm chip could deliver 10%–15% better performance over the expected 3nm chip in the iPhone 17 series, and more importantly – better power efficiency.
Those benefits don’t come cheap, though, and Apple might pass that cost on to consumers.
How much more will it cost?
There's a good chance these new 2nm chips will result in higher prices in the flagship phone market. | Image credit – PhoneArena
There’s no concrete number on how much more the iPhone 18 might cost, but Apple’s hardware pricing strategy in recent years has shown it isn’t afraid to increase price tags when component costs go up. Combine this with ongoing trade tariffs and the rumored arrival of a premium iPhone Fold priced above $2,000, and 2026 could be an expensive year for Apple fans.
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Aleksandar is a tech enthusiast with a broad range of interests, from smartphones to space exploration. His curiosity extends to hands-on DIY experiments with his gadgets, and he enjoys switching between different brands to experience the latest innovations. Prior to joining PhoneArena, Aleksandar worked on the Google Art Project, digitizing valuable artworks and gaining diverse perspectives on technology. When he's not immersed in tech, Aleksandar is an outdoorsman who enjoys mountain hikes, wildlife photography, and nature conservation. His interests also extend to martial arts, running, and snowboarding, reflecting his dynamic approach to life and technology.
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