Apple has increased the prices of some of its Mac computers and iPad tablets globally, caving in to soaring chip costs, after years of largely resisting increasing the prices of its products.
In the UAE, the latest MacBook Air with the M5 chip now starts at Dh5,499, up from Dh4,599.
The M5 MacBook Pro, which at launch had a starting price of Dh6,899, is now at Dh8,499.
The recently launched MacBook Neo now starts at Dh2,999, up from the launch offering of Dh2,599.
Apple's M4 iPad Air, which was introduced at Dh2,499, is now going for Dh2,999, while the starting price of the M5 iPad Pro has been increased from Dh4,199 to Dh4,999.
Apple indicated to The National on Thursday that it was left with no choice, saying it "reached a point where we need to begin raising prices on a number of products".
It added that the consumer electronics industry "is facing an unprecedented challenge", pointing to the spectacular rise of artificial intelligence, its infrastructure demands and the seemingly endless applications the technology is being used for.
“The rapid expansion of AI data centres has created an extraordinary surge in demand for memory and storage. We have never seen a component price increase this much, this quickly,” Apple said.
"We know this is not welcome news, and we are working tirelessly to find solutions.”
Apple has, for the most part, been able to maintain the prices of its products in recent years, despite adding new features.
The rise of AI applications, however, has created unprecedented demand for chips, causing shortages and raising their costs.
The development and building of data centres, which house these AI-intensive operations, also adds to the pressure.
Apple chief executive Tim Cook, who is stepping down on September 1, earlier this month hinted at the California-based company's plans to raise prices, the Wall Street Journal reported.
At the time, he did not disclose which products would be affected and when the price increases would be implemented.
“There's less supply at a time when consumers want devices and the memory guys are passing along huge price increases,” Mr Cook said.
“We definitely need memory pricing and supply to return to reasonable levels for consumer products. That's the bottom line.”
Shares of Apple retreated by as much as 5 per cent after the announcement.
The company is expected to unveil its new iPhones in September, with the industry anticipating the company's first foldable flagship device.
