Apple Reportedly Agrees to Pay Double for LPDDR5X Memory Amid Chip Shortage

Apple is facing rising component costs as global memory supply tightens. According to reports from Korean industry sources, Apple has agreed to pay significantly more for LPDDR5X memory chips used in its upcoming iPhone models.

The price jump highlights how intense competition for advanced memory has become in 2026.

LPDDR5X Prices Have Nearly Doubled

The 12GB LPDDR5X memory modules used in devices like the iPhone 17 Pro and the rumored iPhone Air have reportedly increased from around $30 per unit earlier this year to approximately $70.

Sources claim Samsung initially intended to push for a 60 percent price hike. Instead, it opened negotiations with a 100 percent markup. Apple, facing limited alternatives, is said to have accepted the higher price immediately.

If accurate, this move reflects how critical memory supply has become for smartphone manufacturers.

Why Memory Costs Are Rising So Quickly

The spike in LPDDR5X pricing is linked to broader shifts in semiconductor production.

Major chipmakers such as SK Hynix and Micron are prioritizing high bandwidth memory for AI servers. As demand for artificial intelligence infrastructure grows, more production capacity is being redirected away from mobile DRAM.

This shift has created a shortage in the mobile memory market, driving up prices for smartphone manufacturers.

Even Samsung’s own mobile division is feeling pressure. Reports suggest early production of the Samsung Galaxy S26 relies on a split supply of LPDDR5X from Samsung and Micron, with both suppliers expected to raise prices further after initial batches.

Will iPhone Prices Increase?

Despite the cost surge, Apple is reportedly aiming to maintain stable pricing for future flagship models. Analyst Ming-Chi Kuo has suggested that the company intends to keep starting prices flat for next generation Pro models.

During a recent earnings call, Apple CEO Tim Cook acknowledged that higher chip costs would impact margins. However, Apple still projects year on year revenue growth between 13 and 16 percent for the quarter.

In other words, while costs are rising behind the scenes, consumers may not see immediate price jumps.

What This Means for Smartphone Buyers

Higher memory costs often ripple through the industry in subtle ways:

• Tighter profit margins for manufacturers

• Potential price adjustments in certain markets

• More strategic component sourcing

• Increased focus on in house chip development

Samsung, for example, is expected to use its Exynos 2600 chip in a portion of Galaxy S26 units to help offset costs.

As AI workloads grow more demanding, advanced memory like LPDDR5X becomes essential for performance. The result is fierce competition among manufacturers to secure supply early.

Upgrading in a High Cost Market

With production costs rising, upgrading to a new device becomes a more significant decision for many users. When moving to a new iPhone or Galaxy device, ensuring a smooth setup process is crucial.

Smart Transfer, a third party share me file sharing solution, helps simplify transitions between devices. Whether you are performing a whatsapp transfer to keep your conversations intact or managing large media libraries, Smart Transfer streamlines secure data migration. Its flexible tools allow users to move contacts, messages, and files efficiently without complicated manual steps. As flagship smartphones become more expensive due to component costs, having a reliable transfer solution ensures you get up and running quickly on your new device.

Final Thoughts

The reported agreement between Apple and Samsung underscores how competitive the memory market has become. As AI infrastructure expands, smartphone manufacturers must compete for limited mobile DRAM supply.

While Apple appears willing to absorb higher component costs for now, the broader industry may feel continued pricing pressure. For consumers, that makes each upgrade decision more important than ever.