The Memory Boom Has Been a Gift to Micron. For Apple, It's Becoming a Problem. Or Is It? - The Motley Fool

The recent shortage of memory and storage chips has created a windfall for semiconductor manufacturers like Micron, as AI data centers have driven demand to unprecedented levels. However, this supply ... Read original →

The AI data center frenzy for high-bandwidth memory is distorting the semiconductor supply chain. While Micron reaps short-term windfalls from soaring DRAM/NAND prices, Apple’s Q2 2026 margin compression signals a breakdown in cost pass-through. Technically, competition for HBM and LPDDR5X capacity is accelerating SoC integration complexity, raising R&D barriers. Geopolitically, tighter U.S. export controls on advanced memory—coupled with Taiwan, China’s production concentration—amplify Apple’s supply risk. Samsung may leverage this to lock in Apple share via volume deals, while SK Hynix doubles down on AI-centric customer binding. Even with new fabs coming online in 2027, inventory cycles and technology transitions will prolong price volatility. If Apple can’t offset hardware margin erosion through services, its long-standing no-price-hike stance may crack—offering the first real test of its elusive pricing power.