60%
Plausible
A company’s trillion-dollar market value isn’t enough to keep it protected from global component shortages, which pretty much means that Apple will also succumb to forking over ludicrous sums of money to acquire DRAM chips from the likes of Samsung and SK hynix for a multitude of its products.
A new rumor claims that the Cupertino firm’s LTA, or Long-Term Agreements, will expire soon, and the aforementioned Korean manufacturers are probably chomping at the bit to charge its lucrative customers some painfully hefty premiums for DRAM chips, starting from January 2026. The real question is whether Apple will pass those cost increases to its loyal fan base.
Thanks to doubling down on developing in-house chips, Apple might stave off passing down DRAM price premiums to customers
The situation is extremely dire this time, to the point that Samsung has not only been reported to have rejected a DRAM supply request to its own Mobile Experience division to maximize profitability, but is also said to focus more on DDR5 production instead of HBM, as it stands to generate a higher margin from this strategy. According to @jukan05, he implores his readers on X to purchase as many electronics as possible or be forced to pay the price, literally.
With Apple supposedly paying Samsung and SK hynix the increased DRAM premiums, a host of its products could become significantly more expensive, such as its upcoming low-cost MacBook, M5 MacBook Air, iPhone 18 series, iPhone Fold, its redesigned OLED M6 MacBook Pro, and others. Fortunately, the California-based giant has two advantages that will prove to be crucial during the DRAM shortage.
One, it is sitting on billions in cash, and second, its focus on building in-house chips could allow it to absorb these cost increases. For instance, the C1 5G modem found in the iPhone 16e is estimated to save Apple $10 per unit, and while that might not sound like much, when you’re dealing with millions in annual shipments, the total will reach a substantial figure.
Later this year, Apple is said to introduce its C2, which has reportedly been in development for months, and will be found in next year’s flagships. Furthermore, unlike other competing brands, the company relies on its custom A-series SoCs, using them exclusively in its products.
Even different chipset manufacturers, such as Qualcomm and MediaTek, are rumored to bring LPPDR6 exclusivity to the Snapdragon 8 Elite Gen 6 and Dimensity 9600 next year due to rising costs, so Apple is in a slightly better position. However, those planning to upgrade to any iPhone next year are in for an unpleasant surprise, as @jukan05 has mentioned that the company will likely raise product prices, including the iPhone, within the first half of 2026.
News Source: @jukan05
About the author: Omar Sohail is a reporter and analyst for Wccftech's mobile section, specializing in the technology and business of the mobile industry. His expertise lies in the intricate hardware supply chain, covering developments in semiconductor manufacturing, chip lithography, and camera sensor technology.
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