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The tariff snowball begins in the price of iPhone. The real problem is its ramifications

It is not just that The iPhone can end up costing more “As many other things,” but everything that derives from the problem with The tariffs of Trump that today enter into force worldwide. The consequences of these measures are unpredictable, but there are some industries that will clearly be especially affected.

He snowball effect It can be spectacular. Let’s put an initial example to Apple, One of the first great victims of tariffs. We do not know if the company will end up raising the price of its iPhone or other products, but the reality is that the company will cost everything more because of the tariffs.

If that happens, you will have to apply measures so that the business remains profitable, because it is likely to sell less and that consumers tighten the belt. And they squeeze it, everyone else will squeeze it.

Apple could make decisions and make cuts in certain business areas. One of the most obvious – in addition to template cuts – is In advertising spending. Apple could decide that (for example) you will invest half of what you invested in social networks such as Meta. It is something that already prevented in Emarketer, where they indicate that social networks They will be the most affected for the fall of advertising expenditure.

Screen capture 2025 04 09 at 12 17 25
Screen capture 2025 04 09 at 12 17 25

Experts expect cuts between 12 and 41% of the advertising budget in the US because of tariffs. Source: Emarketer

Now let’s put ourselves in the skin of Mark Zuckerberg, who sees how much less money will come precisely in what is the pillar of his business, advertising. And if the income goes down, you will have to face that fall trying to retain advertisers, but also adapting to the situation.

That advertising spending cut will affect especially to the mediathey point out In Marketwatch. In some cases they may face it thanks to using mixed models that combine advertising and subscriptions. They will not even be safe, because in that snow ball many consumers will be trapped and will decide to spend less on those monthly payments and will unsubscribe, at least temporarily, in content.

If there are fewer advertisement money, you have to make cuts too. And that usually means focusing on the business areas that work and leaving other divisions in “low consumption mode.”

Again the layoffs are the clear resource, but a goal could also cut in stop your investment in your commitment to AI. The development of your Family of models call 4 It could stagnate, which would also affect the work of independent institutions, companies and developers that use it as the basis for their own projects.

The same could happen in Redmond. For Microsoft the theoretically theoretically cause tariffs that maintaining their services and their gigantic infrastructure in the cloud comes out more expensive, so we face potential price increases from Microsoft 365 and many other of its services. But they would not be the only feasible cuts, because in fact Microsoft has already begun to move tab and prevent before healing.

Thus, the company has made cuts in its projects to expand its infrastructure. Microsoft had not stopped in investing in new data centers throughout the world, but their plans have begun to change. Ha canceled or leisurely the Creation of data centers worldwide and that is a clear obstacle to its commitment to artificial intelligence.

The snowball can be made much greater, of course, and the reprisals than Other countries They can take against Trump’s tariffs will only aggravate the situation. Thus, China He has already responded To the rise of 104% tariffs that Trump threatened to activate: now the tariffs for goods that the US exports to China will go from 34% to 84%. The EU too prepare your first answerand while the ball continues to become more and bigger … and more unstoppable.

Image | JP Valery

In Xataka | The US has finally formalized the 104% tariff to China. Act then Apple has ceased to be the most valuable company

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