AI delays, memory crunch, new Huawei, Xiaomi foldables: Headaches looming over John Ternus’ first Apple event on 9 Sept

John Ternus assumed charge from Tim Cook on 1 September, becoming the eighth CEO of Apple, a company that has defined technological innovation in consumer products in the 21st century.

Within days of his taking over, Ternus must helm the much-anticipated 9 September event, ‘Surprise and Shine’, where Apple is expected to unveil the iPhone 18 Pro series alongside the rumoured foldable iPhone.

Memory costs push Apple prices higher

Ternus steps in at a turbulent time for Apple. The tech giant faces considerable pressure as memory costs continue to soar, forcing price hikes across several product categories.

The iPhone 17 has not yet seen a price increase, but the Pro series is likely to be discontinued once the iPhone 18 Pro launches on Wednesday. Reports suggest the iPhone 18 line-up will carry a $100 to $200 price bump.

Research firm TrendForce predicts that the foldable iPhone, which some say will be called the iPhone Ultra, is expected to launch at a starting price of $2,099 to $2,299, marking the first time an iPhone breaches the $ 2,000 mark. Keeping up sales of such an expensive iPhone in these challenging times will be a concern for Ternus.

Huawei, Xiaomi launch foldable smartphones ahead of iPhone Ultra

Adding to Ternus' headache, both Huawei and Xiaomi launched new flagship foldable smartphones just before the tentative iPhone Ultra's release.

Huawei's new Mate XT2 series is a tri-fold phone priced starting at around $2,980 and going up to $3,725.

Xiaomi unveiled the Xiaomi 18 Fold, which is its most premium smartphone to date.

Xiaomi CEO Lei Jun explicitly said that the device offers several advantages ​over iPhones. It weighs 219 grams and measures 5.02 mm thick when unfolded, making it lighter than Apple's iPhone Pro Max, he said, as per Reuters.

EU App Store fee overhaul may dent revenues further

Apple overhauled its commission structure for app developers in the European Union in August to end its disagreements with the European Commission over certain business practices.

As per the new model, the company has replaced the earlier Core Technology Fee, which was levied per app installation, with a flat 5% commission for digital goods being distributed through apps outside Apple's App Store. The company has also adjusted rates for payments outside its platform, as well as for in-app purchases, thus making it easier for developers to launch their own alternative app stores.

This new move, although it keeps its business running smoothly in Europe, can dent its App Store earnings.

Apple Intelligence needs to impress

With the launch of the 18 Pro series, Apple will also roll out iOS 27, which promises a leap in Apple Intelligence's performance. Apple, which, through its hardware business, has continued to keep iPhone sales at the top of the industry, will surely want to bridge the gap in AI capabilities between its phones and similarly priced Android devices.

Apple is likely to make Siri smarter with the new launch, along with enhanced camera-based visual intelligence. Its AI-assisted image editing is also expected to get a boost with the iOS 27 launch.