A bipartisan group of United States senators is urging Apple to abandon its efforts to purchase memory chips from Chinese suppliers. The technology giant has been exploring options to buy components from ChangXin Memory Technologies (CXMT) and Yangtze Memory Technologies (YMTC) to navigate an ongoing global memory shortage. However, lawmakers are stepping in, warning that relying on these companies could pose serious national security risks.
Lawmakers warn against relying on blacklisted suppliers
The pushback is being led by Indiana Republican Jim Banks and New York Democrat Chuck Schumer. In a recent letter addressed to CEO Tim Cook, the senators asked Apple to completely stop using chips from these Chinese firms, even if the final devices are only sold within the Chinese market. They highlighted that both CXMT and YMTC are on a recently updated Pentagon list of Chinese entities believed to support Beijing’s military operations.
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The senators are asking the iPhone maker to formally commit to dropping these suppliers by August 21. While the company is not legally barred from purchasing from these firms without US government approval, moving forward could expose it to significant political ramifications.
The senators warned that the move would be short-sighted, making the world’s most valuable consumer electronics company dependent on a US adversary for crucial components.
Micron also lobbies the government to block the deal
The situation is further complicated by intense lobbying from American competitors. Micron, the only major US memory chip manufacturer left, has been actively pressuring the government to block the tech giant’s plans. Over the past few weeks, executives from both companies have pitched their opposing views to high-level officials, including Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent.
Micron CEO Sanjay Mehrotra has warned the administration that allowing Chinese memory firms into US supply chains could devastate the domestic industry. He argues that buying heavily state-subsidized chips would undermine American producers and weaken local competition.
As the global memory shortage is expected to persist due to surging AI demand, the administration is now caught between supporting domestic chipmakers and helping American brands lower their manufacturing costs.
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