Washington: Speaking in an interview with The Wall Street Journal, Cook said the growing demand for memory and storage chips, fuelled largely by the rapid expansion of artificial intelligence (AI) infrastructure and data centres, has intensified competition for critical semiconductor supplies.

He explained that consumer electronics companies are increasingly competing with AI-focused firms for limited chip inventories, driving up component costs across the industry.

While Apple is working to minimise the impact on customers, Cook acknowledged that the sustained increase in production expenses has made price adjustments unavoidable. However, he did not specify when the increases would take effect, how significant they would be, or which products would be affected.

Industry representatives from the automotive, retail and electronics sectors have also warned that soaring demand for memory chips could lead to higher prices for a wide range of products, while placing additional strain on global supply chains.

The announcement comes as reports suggest Apple is gearing up for a major product launch in September, with the company expected to unveil its first foldable iPhone alongside the next-generation iPhone 18 Pro and iPhone 18 Pro Max models.