Apple Holds iPhone Prices Steady Amid $1B Trump Tariff Impact

Apple launched its new iPhone 17 lineup, including the new iPhone Air, at its 2025 event while maintaining steady pricing despite facing tariffs imposed by U.S. President Donald Trump. The iPhone Air, featuring a high-density battery and an upgraded A19 Pro chip, starts at $999 and slots between Apple's other models, directly competing with Samsung's Galaxy S25 Edge. The base iPhone 17 with 256GB storage is priced at $799, and the iPhone 17 Pro starts at $1,099 for the same storage, mirroring last year's pricing despite increased storage capacity. Apple also kept prices steady for its Apple Watch models and the AirPods Pro 3, signaling its strategy to absorb tariff-related costs exceeding $1 billion to stay competitive against rivals like Samsung, Google, and domestic Chinese manufacturers. Wall Street reacted cautiously, with Apple shares dipping slightly due to margin concerns, but analysts acknowledge the company’s effort to balance pricing with consumer demand amid macroeconomic pressures. Overall, Apple aims to leverage its scale to maintain affordability and encourage upgrades in a challenging market environment.