Apple is reportedly in talks to buy memory chips from Chinese semiconductor companies CXMT and YMTC as the global memory shortage continues to raise costs across Macs, iPads, and other Apple devices.
Bloomberg reports that Apple has discussed buying memory components from ChangXin Memory Technologies and Yangtze Memory Technologies for devices sold in China, although the talks are still ongoing and no final deal has been signed.
The move comes after Apple recently increased prices across several product lines because memory chip costs have risen sharply. Chipmakers are now focusing more on AI servers, where demand is higher and margins are stronger, so consumer electronics companies have less supply available for phones, tablets, laptops, and other devices.
Apple currently depends on Samsung, SK Hynix, and Micron for memory chips, but adding CXMT and YMTC would give the company more supply options during a difficult period for the industry.
However, the talks also carry political risk because both Chinese companies appear on the Pentagon’s 1260H list of firms suspected of supporting China’s military. YMTC also faces restrictions under the U.S. Commerce Department’s Entity List, which limits how American companies can sell technology to the company.
Apple does not need formal U.S. approval to buy chips from these firms, but the company wants to avoid political backlash in Washington. Tim Cook has reportedly spoken with Trump administration officials as Apple looks for support or at least a clear path forward.
Apple’s reported plan would use Chinese-made chips only in devices sold in China, which would free up supply from other memory partners for products sold in the U.S. and other markets.
Still, some U.S. officials oppose the idea, so the talks remain uncertain. Apple tried to work with YMTC in 2022 as well, but that effort ended after strong criticism from lawmakers.
