### Summary:
– Samsung and SK Hynix are negotiating price increases for LPDDR memory supplies to Apple, citing rising demand driven by AI investments.
– The price adjustments for LPDDR memory could lead to an increase of over 80% for Samsung and nearly 100% for SK Hynix.
– The upcoming iPhone 18 Pro series may experience further price pressures in the latter half of 2026 due to continuing supply-demand imbalances.
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### Significant Price Increases Planned for LPDDR Memory Supplied to Apple
Recent reports indicate that Samsung Electronics and SK Hynix have entered negotiations with Apple concerning a substantial price hike for LPDDR memory, crucial for the operation of iPhones. The LPDDR (low-power double data rate) memory, particularly the current LPDDR5X model, is extensively utilized in mobile phones, tablets, and other portable devices.
#### Factors Driving Price Increases
The primary impetus for this proposed price increase lies in the escalating demand for DRAM memory, driven by substantial investments in AI infrastructure by major tech companies and startups. This surge is contributing to a significant spike in prices for LPDDR and other related memory products. Concurrently, leading DRAM manufacturers are reallocating their production capabilities toward high-bandwidth memory (HBM) focused on AI applications, which is exacerbating the supply shortfall for consumer-grade DRAM applications.
Specifically, Samsung is expected to raise its LPDDR memory prices for iPhones by over 80%, while SK Hynix’s increases may approach 100%. These adjustments are aimed at the supply for the first quarter of 2026, in anticipation of an imminent impact on Apple’s products.
#### Anticipated Market Developments
As Apple prepares to launch the new iPhone 18 Pro series this year, industry analysts foresee the potential for additional price hikes in LPDDR memory during the latter half of 2026. Traditionally, Apple has entered into long-term memory supply agreements, yet the current climate of memory supply and demand has necessitated ongoing negotiations solely for the first half of the year. This situation leaves open the possibility of further price increases as new devices are introduced later this year.
Despite being a major player in the memory market, Apple’s LPDDR purchase prices have remained relatively low in absolute terms. This ongoing negotiation process seeks to address the long-standing price imbalance between Apple and memory suppliers, potentially leveling the playing field.
#### Market Trends and Profit Margins
According to industry sources, LPDDR memory prices surged by approximately 40% in the fourth quarter of 2025, with momentum likely to continue into the first quarter of 2026. This has resulted in profit margins for related products exceeding 60%.
#### Implications for Apple’s Ecosystem
In light of these developments, experts note that the rising demand for DRAM triggered by AI investments is influencing the price dynamics within the consumer-grade memory segment. The recent price adjustments by Samsung and SK Hynix, while rectifying some longstanding imbalances, also underscore a greater industry trend toward reallocating resources toward high-value applications, particularly in the AI domain.
The forthcoming iPhone 18 Pro series release could amplify existing pressures on memory prices, potentially reverberating through the cost structures of end products. As Apple navigates these challenges, the implications of rising memory costs may become increasingly evident in product pricing strategies and consumer choice.
#### Conclusion
The ongoing negotiations between Apple and leading memory suppliers highlight a shifting landscape characterized by rapid technological advancements and evolving market dynamics. As the demand for LPDDR memory intensifies, driven by AI initiatives and market reallocation of production resources, significant adjustments in pricing are expected to reshape both the competitive landscape and consumer experience in the mobile technology sector.
