A financial investment firm from Korea, Daishin Securities, has published research indicating that Apple is reportedly capitalizing on the current memory crisis to disadvantage its competitors. The report suggests Apple is securing a substantial portion of the available DRAM for mobile devices, exacerbating supply constraints and forcing many Chinese OEM manufacturers into defensive procurement strategies.
This strategic move by Apple is said to have allowed it to increase its iPhone shipment targets by as much as 240 million units. Concurrently, other manufacturers have been forced to revise their projections downward due to difficulties in acquiring the necessary memory to meet their production goals. While it’s understandable that Apple would proactively secure ample memory to protect its own interests, the report goes further, positing that Apple’s increased memory acquisition directly impacts its entire competitive landscape.
Apple is Better Positioned Than Most Android Manufacturers to Weather the DRAM Crisis
Market analysts from TrendForce, IDC, and Counterpoint have all reported a significant crisis in the DRAM and NAND memory markets. The escalating demand for AI and data center hardware is diverting manufacturing capacity towards higher-margin products such as HBM memory for AI accelerators, server RAM, and enterprise SSDs. This reallocation has artificially constrained the production of memory for the consumer PC and smartphone markets.
TrendForce has revised its forecasts for conventional DRAM prices upward, noting that LPDDR4X and LPDDR5X memory are also on track for historically significant price increases, potentially reaching around 90% higher than the previous year. IDC characterized the situation as a structural reallocation of capacity from consumer electronics to AI-related memory. Daishin Securities, in turn, claims that Apple has cornered the market on memory to the detriment of its rivals.
Within this context, it is evident that Apple is better positioned than most Android manufacturers to navigate this challenging period. Reuters, citing Counterpoint, reported that Apple led global smartphone shipments in the first quarter of 2026, capturing a 21% market share. This allowed Apple to achieve 5% year-over-year growth in a market that experienced an overall decline of 6%. IDC further notes that Apple and Samsung possess greater financial resources, long-term supply agreements, and stronger supply chain resilience compared to many competitors focused on the mid-to-low-end segments, granting them a significant competitive advantage.
With Such Financial Muscle, Smaller Companies Face Significant Hurdles in Accessing Memory
This is not only because major manufacturers receive preferential treatment, but also because smaller companies cannot afford to secure long-term memory purchase agreements, especially when required to pay upfront. Mobile memory is both expensive and scarce, with numerous manufacturers aggressively vying for supply. This is where Chinese OEM manufacturers become particularly vulnerable, as they operate with narrower profit margins, leaving them less room to absorb cost increases.
IDC specifically names groups such as Xiaomi, Oppo, Vivo, Honor, and Realme among the most exposed manufacturers. TrendForce had already indicated in late 2025 that Xiaomi had warned of potential price hikes and the possibility of reducing memory configurations to control costs. Conversely, Apple is not only increasing production but has also secured so much memory that it can maintain its pricing. Rumors even suggest that future iPhone 18 models will retain their current pricing, while competitors’ devices will face further price increases, thus granting Apple a competitive edge.
Adding to this, many Android smartphone manufacturers are now looking to Google to optimize its operating system to require less memory. Higher memory requirements compel manufacturers to resort to larger quantities of RAM at a time when it is scarce and exceptionally costly. Meanwhile, iPhones with iOS operate efficiently with 8GB of RAM. Even the MacBook Neo, which can perform exceptionally well with 8GB of RAM, presents a stark contrast to Windows 11 laptops, where 16GB is the recommended minimum, effectively doubling memory costs per device.
