Apple Inc (NASDAQ:AAPL) shares are down Monday on the heels of a Jefferies downgrade due to supply chain issues and higher memory costs.
A report from Trendforce showed that the iPhone 18 Pro — set to be unveiled at Apple's next event on Sept. 9 — will come with 38% higher costs compared to the iPhone 17 Pro, as reported by 9to5Mac.
That's because memory costs have gone up three times compared to the last model.
Memory costs were around 10% of the overall phone cost last year, but that rises to 40% for the upcoming model.
Apple expects to absorb some of the costs on the phone to cushion the hit to consumers, but doing so would lower margins on the popular smartphone.
