Apple Responds to Skyrocketing RAM and Storage Chip Prices
On an earnings call with equity analysts today, Apple CEO Tim Cook responded to fast-rising RAM and SSD storage chip prices in the supply chain.
Prices for RAM and NAND storage chips are surging lately due to high demand from companies building out AI servers, resulting in supply constraints.
Cook said that rising memory chip prices had a "minimal impact" on Apple's gross margin in the fourth quarter of the 2025 calendar year, but he does expect a "bit more of an impact" on the company's gross margin in the current quarter.
Cook added that Apple is aware of the rising prices and "will look at a range of options to deal with that" over the long term, if necessary.
Apple reported record-breaking revenue of $143.8 billion last quarter, up 16% year-over-year, and it is predicting similar 13% to 16% year-over-year growth and gross margin of 48% to 49% in the current quarter, so the company is still reporting impressive earnings results despite concerns surrounding memory chip prices.
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