Apple has reportedly agreed to pay significantly more for memory used in its upcoming iPhone lineup, highlighting just how tight the global chip supply has become.
According to Korean outlet Dealsite, Apple accepted a 100 percent price increase on LPDDR5X memory modules supplied by Samsung Electronics for iPhone 17 production.
Memory prices have surged
The report claims 12GB LPDDR5X modules used in the iPhone 17 Pro and iPhone Air have nearly doubled in cost this year. Prices are said to have climbed from roughly $30 earlier in 2025 to around $70 per module.
Samsung had reportedly planned to negotiate a 60 percent increase. Instead, it opened discussions with a 100 percent markup, which Apple allegedly accepted without prolonged negotiation.
If accurate, that move signals how aggressively smartphone makers are trying to secure memory supply.
Why memory costs are rising
The pressure appears to be coming from a broader industry shift. Major chipmakers such as SK Hynix and Micron Technology have been reallocating production capacity toward high-bandwidth memory used in AI servers.
That shift has tightened availability of mobile DRAM, including LPDDR5X, creating a supply squeeze across the smartphone market.
Even Samsung’s own mobile division is reportedly feeling the impact. Early production of the Galaxy S26 is said to rely on a mix of Samsung and Micron memory, with further price increases expected after initial batches.
Will iPhone prices rise?
Despite the rising component costs, analyst Ming-Chi Kuo recently suggested Apple intends to keep starting prices for the iPhone 18 Pro unchanged.
RELATED: Apple Battling Rising Costs Ahead of Low-Cost MacBook Launch
Meanwhile, Tim Cook acknowledged during a recent earnings call that higher chip prices will have some impact on gross margins. However, Apple still expects double-digit year-over-year revenue growth this quarter.
That suggests Apple may absorb some of the cost increases rather than immediately passing them on to consumers.
RELATED: Mac Prices Could Rise in 2026 as RAM Costs Surge
If Apple truly accepted a full 100 percent memory price hike, it underscores how competitive the semiconductor market has become. AI infrastructure demand is reshaping supply priorities, and smartphone makers are now competing for capacity that once felt abundant.
The key question now is whether these rising costs will quietly squeeze margins or eventually show up in iPhone pricing.
