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WSJ: The Beleaguered Chip Sellers Getting Their Revenge on Apple

Summary by Ground News
Surging demand for memory chips from AI data centers has shifted the balance of power between Apple and its suppliers, allowing manufacturers to raise prices after years of pressure from the iPhone maker. Apple’s estimated spending on flash memory is expected to increase from $6 billion in 2025 to $25 billion in 2026, putting pressure on profit margins, particularly for storage upgrades. The rising costs have contributed to price increases across Apple’s product lineup, while uncertainty remains over whether consumers will accept higher prices or delay purchases.

5 Articles

(Seoul = Yonhap News) Reporter Jung Joo-ho = As demand for artificial intelligence (AI) data centers surges, flash memory manufacturers, who had previously been at Apple's mercy, have gained bargaining power...

·Seoul, Korea (the Republic of)
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Center

Apple, which reigned as the world's largest buyer of NAND flash memory and purchased chips at rock-bottom prices, is facing a headwind from the artificial intelligence (AI) craze. As NAND flash prices jumped fivefold in a year due to a surge in AI data center investments by Big Tech companies, suppliers are instead

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Apple's tough negotiations with its memory suppliers and the striking remarks directed at the SanDisk CEO made headlines. However, the increase in demand for artificial intelligence has begun to shift Apple's power over its suppliers.

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Wall Street Journal broke the news in New York, United States on Thursday, October 29, 2026.
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