The rising prices of RAM and memory have prompted smartphone manufacturers to seek cheaper, more readily available alternative suppliers. Chinese company ChangXin Memory Technologies (CXMT) is now about to become an Apple memory supplier, at least for devices sold in the Chinese market.
Last week, it was reported that Apple is in talks with CXMT to source part of its memory demand from the Chinese firm while simultaneously lobbying the U.S. government for permission to use CXMT’s products. CXMT is said to be a state-owned company already sanctioned by the U.S. government for its ties to China"s military.
According to a new Financial Times report, the use of CXMT memory in Apple products is being pursued more seriously than before. The iPhone maker has reportedly begun testing CXMT’s DRAM chips for devices that are going to be sold in the Chinese market.
While CXMT’s chips might find their way into Apple’s products in China, the tech giant is said to be in talks with the Trump administration to get clearance to use CXMT-supplied chips in more of its products and in markets outside China.
Samsung Electronics, SK Hynix, and Micron Technology are currently the top three DRAM manufacturers in the world, while China’s CXMT ranks fourth. Back in 2022, Apple was looking to use Chinese memory chips in its products, though the move faced backlash from U.S. senators, including current Secretary of State Marco Rubio.
Apple has recently raised prices on Mac and iPad devices by up to $200, and the upcoming iPhone 18 series is also expected to see a price increase this September. Apple CEO Tim Cook previously said price hikes are unavoidable due to the current memory shortage.
Despite Apple’s interest in using CXMT memory, Bank of America recently said it does not expect Apple to "meaningfully" adopt CXMT’s DRAM. BofA argues that CXMT’s DRAM chips do not meet Apple’s standards and that the DRAM IP is largely owned by major Korean and U.S. chipmakers, potentially leading to litigation. More importantly, CXMT remains sanctioned by the U.S. government, and Apple cannot enter into a deal unless it receives clearance from the Trump administration.