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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.

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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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Top Rated Comments

Radeon85 Avatar
6 weeks ago
Translation, we charged obscene prices for many years for extra RAM and storage, so we can take a hit for a while. So when we offer future products at the same price, we look like the good guys, making you think you are actually getting a good deal.
Score: 14 Votes (Like | Disagree)
Colpeas Avatar
6 weeks ago
Apple’s upgrades have always been so expensive that in the current DRAM market situation they just seem “normal”.

The only brand that doesn’t have to raise prices to keep making profit.
Score: 10 Votes (Like | Disagree)
vegetassj4 Avatar
6 weeks ago
“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.”

The new iPhone Pro now has PRO ram, for the fastest and best iPhone we’ve ever created. And we’re only raising the prices slightly, representing an extreme value and magical experience for the MOST PRO iPhone ever. The new iPhone that is light years ahead of the competition. We think you’ll love it.
Score: 10 Votes (Like | Disagree)
GuruZac Avatar
6 weeks ago
Apple doesn’t owe us to eat the increased RAM and storage costs as they’re clearly not a charity. But the right thing to do (for my pocket) and a good look would be to eat those rising costs, especially with their strong earnings call.
Score: 9 Votes (Like | Disagree)
thadoggfather Avatar
6 weeks ago
I feel like while this sticker shock comes as a surprise to consumers, it’s less likely to be for people at the helm of supply chain and one of the top tech companies in the world

All of a sudden the Apple ram and storage upgrade prices are a deal/steal in upside down 2026 clown world

Embrace the AI!
Score: 9 Votes (Like | Disagree)
Mrkevinfinnerty Avatar
6 weeks ago
Tim reassuring the markets that Apple's RAM and Storage pricing was extortionate before it was fashionable.

:cool:
Score: 8 Votes (Like | Disagree)