TECH NEWS – There is a strong chance that Apple’s new technology will only make an already terrible situation even worse.
The memory requirements needed to fully use Siri’s AI features will eventually force Apple to use at least 12 GB of LPDDR5X RAM in the iPhone 18 series. More important than that, however, is how this increased demand will contribute to the current memory crisis while making a handful of suppliers rich. Even though Apple is slowly losing bargaining power in DRAM orders against hyperscalers, it still accounts for the lion’s share of annual smartphone shipments, which means memory manufacturers such as Samsung, SK Hynix, and Micron will still give Apple enough priority.
The problem is that, according to KB Securities estimates, the Cupertino tech giant will ship around 250 million iPhones in 2027, and with its abundant cash reserves, it will hardly have trouble paying the DRAM premium. The worrying fact is that as Siri AI offers more features, memory requirements will slowly rise, causing an even greater supply squeeze than previously expected. As a company, Apple has a duty to ship as many devices as possible in a calendar year, but the introduction of Siri AI suggests it cannot hold back the specifications of the base-model iPhone 18, meaning that model will also be available with 12 GB of DRAM.
Although this upgrade could open many possibilities for users who want to do things beyond on-device AI, it also complicates the situation for the entire industry and for consumers. On the other hand: will excessive memory procurement not force Apple to introduce a price increase for the iPhone 18 series? To some extent, yes, and since the company’s DRAM inventory is almost depleted, Apple would have few options left, but it does have a trump card up its sleeve.
According to Ming-Chi Kuo, analyst at TF International Securities, the company’s Services division will provide enough financial reserves to shield Apple from these price increases, allowing it to exploit the market turmoil and become the number-one player in the segment. Unlike Apple, its rivals do not have other billion-dollar business divisions that can offset the premiums they will have to pay during the DRAM crisis, and since Siri AI is expected to be used heavily as a marketing tool, consumers may have a reason to upgrade their devices.
