Apple's suppliers only made a few hundred iPhone Ultra units per day in August

Apple’s upcoming iPhone Ultra, set to debut at an upcoming “surprise and shine” event, is generating considerable buzz as the company’s first foldable device. However, one aspect that has many people wondering is the potential price tag for this ultra-luxury product. After closely tracking various rumors over the past few months, estimates put the starting price anywhere between $2,000 and $2,500, depending on the storage configuration.

The lowest estimate places the base model at $2,100, matching Samsung’s Galaxy Z Fold 8 Ultra starting price for the 256GB storage option. On the higher end, a 1TB storage model could reach $2,900, while the mid-range estimate suggests a price of $2,300. This mid-point pricing appears to be the most reasonable, considering Apple’s historical pricing strategy for flagship devices like the iPhone 17 Pro Max, which typically has a $200 price differential between storage tiers.

Several factors are driving the potential high cost of the iPhone Ultra. First, Apple’s innovative nearly invisible crease technology, which aims to create a seamless inner display, will add substantial manufacturing costs. Additionally, Apple’s new A20 Pro chip, built on a 2nm process node, is expected to increase the device’s bill of materials.

This aligns with the increasing component costs faced by all hardware manufacturers, with Samsung launching its latest foldables at a $100 price increase over their previous iterations.

However, software could also play a significant role in justifying the higher price. Apple’s iOS 27 is rumored to include optimized system-level performance for dynamic app scaling and fluid transitions across both screens, a feature that rivals may struggle to match due to inconsistencies in multi-window layouts. If Apple can deliver this level of seamless software integration, it may help offset the premium pricing.

In comparison to the Galaxy Z Fold 8 Ultra, which starts at $2,099, Apple will likely need to position the iPhone Ultra above this price point to justify its premium status. However, a price of $2,300 strikes a balance between maintaining exclusivity and appealing to a broader audience accustomed to paying $1,000 or more for flagship smartphones.

This sweet spot would allow Apple to leverage its engineering prowess and software innovation while avoiding the pitfalls of overpricing that have previously dampened foldable device adoption.