Summary: Apple’s next iPhones could get more expensive as TSMC raises prices for its 2nm chips. Combined with Trump’s proposed tariffs, the cost of future smartphones and other devices may climb significantly.
The prices of Apple’s iPhones are already absurd, but if you’re thinking of buying one, you might want to do it this year. That’s because the TSMC price hike is coming, and it’s likely to drive up the cost of future devices, such as those made by Apple.
Even more expensive chipsets
According to tipster Digital Chat Station on Weibo, Apple will adopt TSMC’s new 2nm process for the iPhone 18 Pro and Pro Max models launching in 2026. And with that shift comes a significant increase in production costs. Industry estimates suggest TSMC will charge around $30,000 per wafer for chips made using the 2nm process. It’s still unclear whether those costs will drop with scale, but for now, that price is going to hit every TSMC customer hard.
That includes Apple, Qualcomm, and MediaTek, all of whom plan to use 2nm chipsets in their upcoming flagship products. Qualcomm, for instance, is expected to launch two 2nm chipsets in 2026. They will likely power premium Android phones like Samsung’s next-gen Galaxy and foldables.
The thing is, these companies aren’t going to eat the cost. If TSMC’s chip prices go up, consumer prices will follow. Digital Chat Station claims this TSMC price hike will force smartphone makers, like Apple, to increase the prices of not just phones, but also tablets, smartwatches, and more.
And that’s only part of the picture.
Don’t forget about tariffs
Donald Trump’s proposed semiconductor tariffs are also on the horizon. While the exact details haven’t been released yet, the combination of high tariffs and increased chip costs could send prices through the roof. On top of that, Trump’s broader tariffs on Chinese goods could hit other vital components. This includes rare earth metals, which China practically monopolizes.
Smartphones rely on these rare earth materials for everything from cameras to wireless charging. Expect even higher costs across the board if those rare earth materials are also subject to taxation.
Some companies are trying to move production to the US, but it’s not going to happen overnight. Rebuilding supply chains that took decades to develop in China is a long, expensive process.
We don’t know exactly how much prices will rise, but based on what we’re seeing, it’s likely that 2026 will be the year phone prices go through the roof. Normally, we’d suggest holding off on an upgrade if your device still works fine. But in this case, upgrading now might actually save you money in the long run.
