Apple’s Supply Grip is Forcing Chinese Brands to Kill Ultra Phones

Earlier supply chain reports suggested Apple was purchasing large amounts of mobile DRAM, potentially limiting availability for competitors.

A report from Daishin Securities also indicated that Apple was increasing its iPhone shipment target to around 240 million units while securing memory supply.

Apple was not the only one doing so, as Samsung has also been securing LPDDR memory through long-term agreements with suppliers.

The situation is creating pressure on Chinese smartphone manufacturers, which are facing higher production costs. Some companies are reportedly reconsidering their ultra-premium models due to bill of materials costs reaching around $917.

SIG Semi-Distro channel check notes ( $INTC, $SNDK, $MRVL etc): pic.twitter.com/gSygyuKFA4

— Sean (@Sean14978416) May 3, 2026

Pricing Approach

Apple has continued efforts to maintain stable pricing.

In cases where price increases are unavoidable, the company has reportedly adjusted its product lineup, including removing certain base variants, while keeping higher-end models at stable prices.

According to reports, Apple’s iPhone 17 series has recorded around 20 million activations in China, with approximately 10 million from the Pro Max variant.