Apple increased the price of the iPhone 14 in key markets, although it was unchanged in the US

Apple increased the price of the iPhone 14 series in a number of key markets, although it remained unchanged in the United States.

With continued inflation galloping and a global recession looming, all eyes were on how Apple evaluated its flagship product during the Cupertino giant’s big event on Wednesday, which unveiled four iPhone 14 models.

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One of the biggest surprises was that in the United States, Apple kept the prices of the iPhone 14 series at the same level as the corresponding iPhone 13 model.

The base model of the iPhone 14 will start at $799, the same amount it originally asked for last year’s iPhone 13. The top-priced iPhone 14 Pro Max starts at $1,099, same as the iPhone 13 Pro Max.

However, Apple has increased the price in some of its largest markets around the world.

The latest Apple smartphones will test the global consumer appetite for new electronics and test the US tech giant’s brand power.

Here are some comparisons of the iPhone 14 base model to the iPhone 13 in different countries.

United Kingdom

• iPhone 13: £779
• iPhone 14: £849
• £70 price increase ($80)

Australia

• iPhone 13: 1,349 Australian dollars
• iPhone 14: 1,399 Australian dollars
• 50 Australian dollars price increase ($33)

Japan

• iPhone 13: 98,800 Japanese yen
• iPhone 14: 119,800 Japanese yen
• Price increase by 21,000 Japanese yen ($146)

Germany

• iPhone 13: 899 euros
• iPhone 14: 999 euros
• 100 euro price increase ($100)

Other models have steeper price increases. For example, the iPhone 14 Pro Max is £150 more expensive in the UK than last year’s equivalent.

Analysts said that part of the reason for the price increases could be rising component costs and the appreciation of the US dollar against other currencies in markets where Apple has increased prices.

“The most important thing is that the euro and yen have depreciated quite a bit, leading to slightly higher prices,” Neil Shah, a partner at Counterpoint Research, told CNBC.

On Wednesday, the British pound fell to its lowest level against the dollar since 1985. The euro remains roughly at par with the dollar and the greenback continues to appreciate against the Japanese yen.

Apple has maintained the price of the iPhone in mainland China, one of its most important markets. Apple’s Greater China revenue segment, which includes the mainland, Hong Kong and Taiwan, was the third-biggest region by revenue in the second quarter of the year.

Apple’s iPhone 14 is priced at 5,999 Chinese yuan ($862), with the Pro Max starting at 8,999 yuan.

China has seen a resurgence of Covid this year. Authorities are sticking to their “zero Covid” policy, which has led to the lockdown of major cities including financial hub Shanghai and manufacturing hub Chengdu.

This has hurt the economy and dampened consumer appetite.

Market research firm IDC expects the Chinese smartphone market to contract by 13% this year, falling below 300 million device shipments for the first time since 2012. That could be one reason why Apple hasn’t changed its iPhone pricing in China.

“I wouldn’t be surprised if part of the reason they’re keeping prices low there is to keep demand going in such a tough environment, and in such a strategically important market for Apple,” said Bryan Ma, technology industry analyst at IDCCNBC.

Apple continues to be successful in China, particularly in the higher-end, premium segment of the market.

Apple held a 70% market share in the $600+ smartphone segment in China in the second quarter, up from 58% in the first quarter, according to IDC. Much of this can be attributed to the demise of Huawei, whose smartphone business has been hit by US sanctions, leaving Apple with a void to fill.

“Holding prices helps Apple maintain its user base and strengthen its position in China,” Ma said.