Highlights

• Apple is expected to raise prices by $50 for three iPhone 17 models while the base model remains at $799.
• The hike is attributed to rising component costs and U.S. tariffs.
• Estimated starting prices include $1,049 for iPhone 17 Pro and $1,249 for Pro Max with iPhone 17 Air set to replace the Plus model (price TBD).

Apple is reportedly planning to increase the prices of three upcoming iPhone 17 models by $50 compared to the iPhone 16 lineup, according to a new analyst report. However, the base iPhone 17 model is expected to retain its current starting price of $799.

The anticipated price hike is said to be driven by two main factors,  which are the rising component costs and U.S. tariffs on imports from China. This insight comes from a recent investor note shared by Jefferies analyst Edison Lee, which also suggests that the new iPhone 17 lineup will launch in September.

According to the report, the $50 price increase will apply to the entire iPhone 17 family, which includes the iPhone 17, iPhone 17 Air (set to replace the Plus model), iPhone 17 Pro and iPhone 17 Pro Max. For reference, the iPhone 16 lineup ranges from $799 for the base model to $1,199 for the Pro Max variant.

If these predictions hold true, the expected starting prices for this year’s models would be as follows –

• iPhone 17 – $799
• iPhone 17 Pro – $1,049
• iPhone 17 Pro Max – $1,249
• iPhone 17 Air – Pricing not yet confirmed

The analyst also gave Apple’s stock a Hold rating, citing strong iPhone performance in Q2 2025. U.S. telecom companies reported a 22% year-over-year growth in equipment revenue. This is the highest revenue growth recorded in the past six quarters, according to the investor note.

Back in May, The Wall Street Journal had also reported that Apple was considering a price increase for the iPhone 17 lineup. Instead of directly blaming tariffs, Apple is reportedly planning to introduce new features and design upgrades to justify the higher prices.

Initially, Apple chose to absorb the additional costs taking a $900 million financial hit in Q2. However, it now appears that the company will begin passing at least part of those expenses on to consumers.

FAQs

Q1. What changes are expected in the pricing of the iPhone 17 lineup?

Answer. Apple is reportedly increasing prices by $50 for three iPhone 17 models (except the base model), citing rising component costs and U.S. tariffs as the main reasons.

Q2. Which iPhone 17 models are affected, and what are their projected prices?

Answer. The models impacted include iPhone 17 Pro expected at $1,049, iPhone 17 Pro Max expected at $1,249 and iPhone 17 Air with pricing yet to be confirmed. The base iPhone 17 will remain at $799.

Q3. How has Apple justified this price increase?

Answer. Apple initially absorbed the extra costs, reportedly incurring a $900 million hit in Q2. Now, strong sales and design upgrades are expected to support the price hike, backed by a 22% YoY growth in equipment revenue from U.S. telecom companies.

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