“When I last mentioned Apple SSD prices, they maxed out at $2/GB. Apple’s prices (per GB) also tended to rise as capacity rose,” Robin Harris writes for ZDNet. “For example, under the pricing announced on June 5, 2017 at Apple’s Worldwide Developers Conference, the first 192GB increment to the base configuration, cost $0.52/GB. The next increment, 448GB, cost $0.67/GB. Then a couple of weeks ago, Apple quietly raised iPad Pro prices for the 256GB and 512GB models by $50 each.”

“Now Apple’s storage prices are constant across capacity. Under the new pricing that was not announced – simply inserted into the Apple Store – a couple of weeks ago, that first 192GB now costs $0.78/GB. The added 448GB costs also costs $0.78/GB,” Harris writes. “In fact, MacBook Pro flash increments are also $0.78/GB. So iOS has parity with the Mac in storage pricing as well.”

“Removing the price disincentive for larger capacities is a smart move for Apple,” Harris writes. “Apple must be very confident of its flash supply to do this. And a driver for their part of the winning bid for Toshiba’s flash business. [Due to intense demand], NAND flash storage prices have risen dramatically – ≈50 percent – over the last year… Toshiba’s new fab will come on line next year, which will relieve supply constraints. And Apple’s march to lower costs should resume.”

Read more in the full article here.

MacDailyNews Take: Apple still makes strong margins on storage, but, as Harris points out, they’ve also dropped prices by over half in the last couple of years.

Toshiba signs deal to sell chip unit to Bain Capital-led, Apple-backed group for $18 billion – September 28, 2017
KKR said to be wooing Apple to switch sides in Toshiba bid – September 26, 2017
Bain Capital-Apple group to buy Toshiba chip business for $18 billion – September 21, 2017
Toshiba decides on Bain Capital-Apple Group in chip business sale – September 20, 2017
If Bain Capital bid for Toshiba succeeds, it could be Apple’s largest deal ever – September 14, 2017
Apple mounts a full-court press for Toshiba’s chip business, waging battle with Western Digital – September 8, 2017
Foxconn details plan to acquire Toshiba chips unit; Apple would own 20 percent – September 7, 2017
Bain Capital brings in Apple for last-minute $18 billion bid for Toshiba chip unit – August 30, 2017
Apple and Amazon to back Foxconn on Toshiba chip bid, Hon Hai Chairman Terry Gou says – June 5, 2017
Apple may bid for big stake in Toshiba – April 17, 2017
U.S. suitors get major advantage as Japan to vet bidders in Toshiba chip sale over national security risks – March 10, 2017