Apple said in its most recent earnings report that even after the price increases, its margins are being squeezed by higher component costs.
However, a Wall Street Journal analysis cited by Macworld says Apple is raking it in while you pay more. For example, the WSJ report confirms what most of us have known for years: Apple’s charges to upgraded storage on all its products is excessive.
From the WSJ, per Macworld: Last year, Apple charged users between 8 and 12 times more for storage upgrades on the iPhone than its own costs. Sure, the company has margins to protect, but over a thousand percent? This year, with the chip scarcity and higher prices, Apple is only charging you triple what it pays. A bargain!
The article doesn’t break down Apple’s costs and margins on RAM upgrades for Macs over the years, but it’s not much different than flash storage. Apple has charged $400 to increase a MacBook from 16GB to 32GB. Today that may cost Apple as much as $200, but a year ago it was as little as $40. The chip crunch has moved Apple’s margins from “astronomical” to merely “high.”
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