I understood this as a “the next generation will cost more”. By now I am sure apple can fairly accurately predict device sales for each season and so they likely have a decent backlog for the current generation, procured at reasonable cost from hardware manufacturers.
It’s when they had to negotiate for the next generation where the price would be hiked.
Like the author I wouldn’t bet more than a beverage on this though.
This was inevitable. The better question is if AI related hardware costs drop after the AI bubble implodes, will Apple drop the prices? My answer is negative.
This is understandable given the market but part of me really wishes this would wait a year even though it won't.
Mac hardware is so close to being really useful for local LLMs and it's shared memory architecture could be a direct shot across the bow of NVidia's aggressive VRAM Market segmentation but it just can't compete with the raw FLOPS and memory bandwidth of NVidia. You can buy a Macbook Pro with an M5 Max with 128GB of RAM for $6k currently. I expect that will go up by 20-50% in the next generation.
It's safe to say that no current Apple product will get a RAM bump for the next 1-2 cycles at least.
I think this is going to impact NVidia too but in a different way. Normally in NVidia's product cycle we'd expect 50x0 Super mid-cycle refreshes. It's clear that's not happening this time around. We might expect the 6000 series late next year. I think there's zero incentive for NVidia to do that so that'll likely get delayed into 2028 or possibly 2029. 5090 prices keep going up even though it's 1.5 years old.
Anyway, as for Apple I'm keenly watching for the anticipated refresh of the Mac Studio lineup. The previous gen (M3 Ultra, M4 Max) just don't have the raw horsepower even though they had configs up to 512GB (512GB and 256GB now discontinued). It'll be interesting to see what the max config is and when these come up. Q3 2026 is widely expected but I wouldn't be surprised if it slips into 2027.
I understood this as a “the next generation will cost more”. By now I am sure apple can fairly accurately predict device sales for each season and so they likely have a decent backlog for the current generation, procured at reasonable cost from hardware manufacturers.
It’s when they had to negotiate for the next generation where the price would be hiked.
Like the author I wouldn’t bet more than a beverage on this though.
Tim justifying selling a computer for more than 10k when that Mac Studio comes out
This was inevitable. The better question is if AI related hardware costs drop after the AI bubble implodes, will Apple drop the prices? My answer is negative.
Slow news day, I guess.
September.
This is understandable given the market but part of me really wishes this would wait a year even though it won't.
Mac hardware is so close to being really useful for local LLMs and it's shared memory architecture could be a direct shot across the bow of NVidia's aggressive VRAM Market segmentation but it just can't compete with the raw FLOPS and memory bandwidth of NVidia. You can buy a Macbook Pro with an M5 Max with 128GB of RAM for $6k currently. I expect that will go up by 20-50% in the next generation.
It's safe to say that no current Apple product will get a RAM bump for the next 1-2 cycles at least.
I think this is going to impact NVidia too but in a different way. Normally in NVidia's product cycle we'd expect 50x0 Super mid-cycle refreshes. It's clear that's not happening this time around. We might expect the 6000 series late next year. I think there's zero incentive for NVidia to do that so that'll likely get delayed into 2028 or possibly 2029. 5090 prices keep going up even though it's 1.5 years old.
Anyway, as for Apple I'm keenly watching for the anticipated refresh of the Mac Studio lineup. The previous gen (M3 Ultra, M4 Max) just don't have the raw horsepower even though they had configs up to 512GB (512GB and 256GB now discontinued). It'll be interesting to see what the max config is and when these come up. Q3 2026 is widely expected but I wouldn't be surprised if it slips into 2027.