Apple’s iPhone 17: Brace for a Price Hike as Analysts Foresee a Slimmer Future
New York, NY – September 5, 2025 – For Apple enthusiasts eagerly anticipating the latest iteration of the iconic iPhone, a significant price adjustment appears to be on the horizon. Analysts are now predicting that the upcoming iPhone 17 lineup, slated for a Tuesday reveal, could see its first price increase in seven years, with some models potentially costing between $50 and $100 more than their predecessors.
This anticipated price hike is being attributed to a confluence of factors, including evolving tariff landscapes and strategic adjustments to storage options. Wall Street analysts, including those at Morgan Stanley and Bank of America, are signaling a shift in Apple’s pricing strategy, moving away from the long-standing equilibrium.
Morgan Stanley analysts, in a note released on Thursday, suggest a “modest” price increase across the iPhone range. Crucially, this rise isn’t expected to be a blanket increment. Instead, a notable change will likely be the elimination of the 128-gigabyte option for the Pro model. This strategic move would effectively set the starting price for the iPhone 17 Pro at $1,099, a considerable jump from the current iPhone 16 Pro’s $999 entry point for its 128GB model.
Further fueling these projections, Bloomberg has reported that Apple is poised to introduce a redesigned, slimmer “Air” version of the iPhone. This new model is expected to supersede the larger, less compact “Plus” variants, signaling a potential shift in Apple’s product segmentation. Bank of America analysts have estimated that this iPhone 17 “Air” could command a price point around $100 higher than the current Plus models, projecting a price tag of approximately $999, up from the iPhone 16 Plus’s starting price of $899.
Adding to the chorus of price increase predictions, Jefferies analysts noted in a July report that they foresee a roughly $50 price jump, translating to a 4% to 5% increase from 2024 pricing. This adjustment, they believe, is primarily intended to mitigate the financial impact of escalating tariffs. According to Jefferies, this price adjustment is unlikely to affect the base iPhone model but will most certainly impact the Pro, Pro Max, and the anticipated new slimmer iPhone model.
The underlying economic pressures driving these potential price hikes are multifaceted. Concerns surrounding tariff changes are a significant contributor, as they can directly influence the manufacturing costs of iPhones destined for the US market. Apple has been navigating a complex tariff environment, having already absorbed an $800 million hit in the last quarter due to these changes. While an exemption for certain tariffs was announced in August, the company’s proactive efforts to diversify its supply chain, including shifting some manufacturing operations from China to countries like India, underscore the ongoing strategic adjustments necessary to manage global economic variables.
As the tech world holds its breath for Apple’s next announcement, consumers may need to prepare their wallets for a more substantial investment in their next iPhone upgrade. The iPhone 17 era appears to usher in not only technological advancements but also a new pricing paradigm for Apple’s flagship device.
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