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Apple and Microsoft Announce Major Price Hikes on Same Day; Mac Up $300, Xbox Up $150 Starting August 1

GateNews
Stocks
Apple and Microsoft announced substantial hardware price increases on June 25, with Mac and iPad prices rising up to $300 globally, while Xbox gaming consoles will see price hikes of up to $150 starting August 1, according to official statements from both companies. The synchronized price increases reflect severe supply chain pressures driven by surging demand for memory and storage components from AI data centers. According to Apple's statement, the rapid expansion of AI infrastructure has created unprecedented demand for these critical components, straining the hardware supply chain. Financial markets reacted sharply, with Apple and Microsoft shares closing down 6.15% and 3.45% respectively, reflecting investor concerns about reduced consumer purchasing power. FactSet data shows the five major cloud service providers (Alphabet, Amazon, Meta, Microsoft, and Oracle) are expected to spend $741 billion on capital expenditures this year, a 75% increase year-over-year, primarily directed at physical hardware infrastructure.
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