Tim Cook issues chilling warning as ‘hundred-year-flood’ strikes US tech giants like Apple, Dell, HP. Get protection now

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Tim Cook has spent much than 4 decades wrong the planetary electronics proviso chain.

From IBM to Compaq to Apple, helium has lived done shortages, outgo spikes, shipping chaos and economical shocks.

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But according to the Apple CEO, this 1 is different.

"This is simply a hundred-year flood," Cook told The Wall Street Journal (1) successful an exclusive interview. "I've ne'er seen thing similar it successful immoderate country successful implicit 40 years."

The informing came arsenic Apple prepares to rise prices connected its products to offset surging costs for representation and retention chips utilized successful iPhones, Macs, iPads and different devices.

"Unfortunately, terms increases are unavoidable," Cook said. "We're doing our champion to mitigate the immense increases that are being passed to us, and we've been trying to shield our customers from the increases, but the concern has go unsustainable."

Cook declined to accidental precisely erstwhile the increases volition hit, however ample they volition beryllium oregon which Apple products volition beryllium affected. But the company's adjacent large motorboat is expected successful September, erstwhile Apple is apt to unveil the iPhone 18 lineup.

Chips utilized for representation and retention powerfulness everything from phones and laptops to gaming systems, aesculapian devices and cars. When their prices surge, the symptom tin ripple crossed ample parts of the economy.

And Apple is not immoderate tiny subordinate caught disconnected guard. It is 1 of the richest and astir almighty companies successful the world, with heavy supplier relationships and years of acquisition utilizing its standard to negociate amended prices.

Yet adjacent Apple says it tin nary longer afloat sorb the outgo shock. The accelerated buildout of AI servers has intensified contention for the aforesaid cardinal chips utilized successful user devices, leaving adjacent 1 of the world's richest and astir almighty companies struggling to unafraid proviso astatine tenable prices.

The Wall Street Journal reported that prices for representation and retention chips person quadrupled since past twelvemonth arsenic request surged.

For consumers, the mathematics could beryllium painful. TechInsights estimates that if Apple passes connected the higher costs portion protecting its margins, the adjacent iPhone Pro exemplary could outgo astir $270 more.