Apple is reportedly seeking a way to buy DRAM chips from China’s ChangXin Memory Technologies, better known as CXMT, as the global memory market tightens and Samsung DRAM prices surge.
The move reflects a deeper problem than a routine pricing cycle. Industry analyst Ming-Chi Kuo says the pressure on memory supply could evolve into a broader shortage crisis that may last through 2027.
Why Apple is looking beyond its current suppliers
Rising DRAM costs are no longer only a manufacturing issue. They are beginning to affect the economics of smartphones, laptops, and AI hardware, especially as Apple increases memory demand for its own AI plans.
According to Kuo, Apple previously accepted higher DRAM prices from Samsung without negotiation. The situation has now become serious enough that the company is working to diversify its memory sourcing so it depends less on a small group of suppliers.
In a post on X cited by Gizmochina, Kuo said Apple is actively trying to keep CXMT off the U.S. Entity List so it can purchase DRAM chips from the Chinese maker. That effort shows how supply chain strategy and geopolitics are now tightly linked in the memory business.
| Key Pressure Point | Impact |
|---|---|
| Samsung DRAM prices | Reportedly increased by up to 100% |
| AI-driven demand | Pushes more memory capacity toward data centers |
| Consumer chip supply | LPDDR availability may fall for phones and tablets |
| Apple chip roadmap | A20 production could drop 10% to 20% |
AI demand is changing the memory market
The biggest shift comes from artificial intelligence, which is absorbing more memory production that once served consumer electronics. Kuo estimates that 15% to 20% of memory chip output previously intended for consumer devices could move to AI data centers and infrastructure by 2027.
That shift would leave less LPDDR supply for smartphones and tablets, making memory a more strategic component across the industry. Apple is particularly exposed because its next devices are expected to need more RAM to support Apple Intelligence.
As a result, the supply challenge could affect future iPhone production, not just component costs. Kuo believes Apple’s A20 chipset output, expected for the next iPhone generation, may fall about 10% to 20% from initial plans between late 2026 and early 2027.
CXMT brings opportunity, but also political risk
CXMT is China’s largest DRAM producer, but it is also under U.S. scrutiny because of alleged ties to China’s military sector. That makes any potential partnership politically sensitive for an American company such as Apple.
Even so, gaining access to CXMT could still matter for Apple’s supply chain. The company may not get an immediate price break because CXMT’s production capacity is still limited, but the additional source could help reduce dependence on a narrow supplier base.
The broader risk is that the memory market is no longer being shaped only by demand from phones and PCs. AI infrastructure is now pulling capacity away from consumer devices, which means tighter supply and higher costs may become a lasting feature of the market.
Lenovo has already warned that rising memory prices may become the industry’s new normal, reinforcing the idea that the current squeeze is structural rather than temporary. For Apple and its rivals, that makes access to DRAM increasingly important to future product plans.