By Angela Palumbo

Apple stock rose slightly in after-hours trading on Wednesday after The Wall Street Journal reported that the iPhone maker will raise prices to offset rising component costs.

The Journal published an exclusive interview with outgoing Apple CEO Tim Cook on Wednesday in which Cook said that "unfortunately, price increases are unavoidable."

"We're doing our best to mitigate the huge increases that are being passed to us, and we've been trying to shield our customers from the increases, but the situation has become unsustainable," Cook said, according to the report.

Barron's has reached out to Apple for comment.

The move isn't all that surprising. On the company's last earnings call in April, Cook said that "beyond the June quarter, we believe memory costs will drive an increasing impact on our business, and we'll continue to evaluate this."

Memory is a component used to help power artificial intelligence, and tech hardware companies like Apple have been facing cost pressures as demand for memory far outpaces supply. Other PC and phone makers have already announced price increases to try to offset these rising costs, but Apple has waited on the sidelines. It looks like that won't be the case any longer.

Investors seemed pleased with the decision, likely hoping that higher device prices will mitigate margin pressures. Shares were up 0.6% in after-hours trading. The stock closed down 1.1% on Wednesday.

Write to Angela Palumbo at angela.palumbo@dowjones.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

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June 17, 2026 17:32 ET (21:32 GMT)

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