How much did an iPhone cost in 2007 vs. 2026? The gap is smaller than you think
The first iPhone launched at $499 in 2007. See how that price compares to today's models once inflation, storage and features are factored in.
In 2007, the first iPhone launched at $499 for a 4GB model. Adjusted for inflation, that price would be over $800 in 2025, with the iPhone 17 currently priced at $899. The price gap between the two seems steep, but inflation and carrier deals play a large role. The original iPhone required a two-year AT&T contract, subsidizing its cost, while today unlocked devices are sold outright.
In 2007, the iPhone lacked modern features like a front-facing camera, NFC, AirDrop, and GPS. Modern iPhones pack far more capabilities, making them multi-purpose devices for communication, productivity, and entertainment. Apple's early lack of app support also delayed the iPhone's full potential. While $899 may seem high for some, the smartphone now serves multiple roles, replacing devices like cameras and portable TVs.
Apple has maintained a consistent pricing strategy, though some argue a more affordable entry-level model would help accessibility. Adjusted for inflation, the price gap between the original and latest iPhones isn't as wide as it may seem.
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