Will Apple Be Able to Use CXMT Chips?
The Wall Street Journal reported on Aug. 9 (local time) that Apple is testing memory chips from ChangXin Memory Technologies (CXMT), China’s largest DRAM maker, for use in major product lines such as the iPhone and MacBook.Silicon Valley, the global IT mecca, and the semiconductor industry are once
Apple is reportedly testing memory chips from China's largest DRAM maker, ChangXin Memory Technologies (CXMT), for use in major product lines such as the iPhone and MacBook. This move comes amid a global memory semiconductor shortage driven by the AI boom. However, skepticism remains high regarding Apple's potential adoption of CXMT chips due to technological, political, and economic limitations.
Apple's primary goal is to enhance price bargaining power through supply chain diversification in a market dominated by Samsung Electronics, SK hynix, and Micron. CXMT, backed by Chinese government subsidies, has grown rapidly and can mass-produce mobile DRAM using 15-17 nanometer-class processes. The company has already begun supplying components to PC manufacturers like HP and Acer.
However, several obstacles stand in the way of Apple's commercialization of CXMT chips. The most significant is U.S. export controls and political risk, as CXMT is listed on the U.S. Department of Defense's Chinese military company (1260H) list and the U.S. Department of Commerce's Entity List. Apple, a U.S. company, would not be able to transfer technical specifications or customized semiconductor designs to CXMT, which would limit its ability to optimize devices to its unique design philosophy and SoC strategy.
Moreover, CXMT has reportedly rejected Apple's request to lower DRAM prices, as the company's production capacity is already full due to domestic Chinese Big Tech companies' increased demand for DRAM. CXMT's technological limitations also pose a challenge, as the company trails Korean manufacturers in 10-nanometer-class DRAM production by more than 3-5 years. Implementing CXMT's general-purpose DRAM in flagship smartphones and high-performance MacBooks could lead to performance deterioration and unstable yields.
Given these challenges, the prevailing view in the semiconductor industry is that Apple's CXMT chip testing is more likely a bluffing tactic for negotiation rather than a substantive component shift.
Written by urgent.news from BusinessKorea's reporting — not their text. Machine-written — it may contain errors, so check the original before relying on it.
