According to The Wall Street Journal, Apple, once one of the most powerful buyers in the NAND flash market, is losing some of its negotiating leverage as AI-driven demand gives memory suppliers greater pricing power. Meta, Microsoft, and Amazon have signed long-term supply agreements with Kioxia this year at higher prices, strengthening the chipmaker's negotiating position. Separately, South Korean outlet Economy Tribune reports that Apple has reportedly turned to a long-term NAND supply agreement, with market watchers identifying Kioxia as the likely partner; the terms remain undisclosed and this is a reported plan. The report adds that Apple may also pursue long-term agreements with Samsung Electronics, SK hynix, and Micron to secure future LPDDR5X and LPDDR6 supplies. According to TrendForce, memory's share of the 256GB iPhone Pro's bill of materials rose from around 10% a year earlier to 34% in 3Q26 and could exceed 40% in 1H27; TrendForce also estimates the iPhone 18 Pro's total BOM cost could rise 38% YoY, potentially forcing Apple to sacrifice margins to maintain shipments.
NAND flashLPDDR5XLPDDR6Apple, Kioxia and 5 totalTrendForcePrice Movement
Related manufacturers
Apple, Kioxia, Samsung Electronics, SK hynix, Micron
Samsung Electronics' third-quarter profit came almost entirely from charging more for memory chips, not from selling more of them. On its earnings call, the company also told investors the shortage behind those prices will last into 2028, even as chipmakers raise spending. The shortage is the explicitly stated cause of the higher prices and profit, and the persistence of the shortage into 2028 is a company expectation, not an achieved fact.
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Samsung Electronics reported consolidated revenue of ₩195.3T and operating profit of ₩107.4T for 3Q26, becoming the first global technology company to post quarterly operating profit exceeding ₩100T. Its Device Solutions (DS) division contributed ₩106.5T in operating profit, which Samsung attributed primarily to broad-based memory price increases and a significant expansion in HBM4 sales. DS division revenue was ₩147.1T, up 344% YoY, with a 72% operating margin; memory revenue reached ₩140.7T, up 427% YoY. Samsung attributed the growth to its focus on AI-related products amid capacity constraints, with server demand the strongest and prices rising across end markets. In foundry, higher revenue from HBM base dies and advanced process technologies improved performance; utilization for processes below 8nm is expected to exceed 100%, and 2nm orders secured this year are projected to more than double from 2025. During the earnings call, Samsung stated all HBM supply for 2027 has been committed at target prices, with customers continuing to request additional volumes. HBM4E global sampling began in May, with volume production expected to start in 1H27 and a ramp-up in 2H27; in 4Q27 Samsung plans to further increase sales of HBM4, high-speed DDR5, and server SSDs. Samsung expects the 2027 supply shortage to be more severe than in 2026, with full-year CapEx budgeted at ₩84.4T, of which ₩76.8T is allocated to the DS division.
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Soaring memory prices have pushed some IC design firms to develop and manufacture their own SRAM as a substitute for DRAM. Meanwhile, electronics assemblers and brand manufacturers that still need DRAM face challenges in passing on higher costs and securing supply through long-term contracts. The title states the memory surge leaves CPI stable and hits consumer electronics hardest. The source does not state the cause of the price increase.
On its third-quarter earnings conference call held on Oct. 28, LG Electronics said panel prices for LCD TVs and monitors are expected to remain firm in the fourth quarter of this year, with upward pressure intensifying further from the first quarter of next year (Q1 2027 per the headline), driven by production cuts and price increases by panel manufacturers along with growing demand for large-screen TVs. The company said demand for larger panel sizes in the TV market is clearly increasing and expects this to be another factor driving prices higher. LG Electronics' Media Entertainment Solution (MS) division, which oversees the TV business, reported third-quarter revenue of 5.0215 trillion won and operating profit of 146.7 billion won, swinging to a profit from an operating loss of 302.6 billion won a year earlier; the company attributed the improvement to increased sales of premium products including OLED TVs, lower material costs and more efficient marketing spending. Park Sang-ho, senior vice president in charge of business management at the MS division, said the company will improve supply chain efficiency to address rising costs of key components and plans to increase the proportion of premium product sales, reduce competitive costs and adjust selling prices in line with market conditions.
Samsung reported 3Q26 results: riding the AI memory boom, operating profit surged nearly ninefold YoY to a record KRW 107.4 trillion ($80.04 billion), and revenue climbed to KRW 195.3 trillion, exceeding its early-October preliminary estimate by KRW 300 billion. The semiconductor (DS) division delivered KRW 147.1 trillion in sales and KRW 106.5 trillion in operating profit, a 72.4% margin. Samsung has posted record revenue and operating profit for four consecutive quarters since 4Q25. During its October 29 earnings call, Samsung said HBM4 revenue more than tripled QoQ in 3Q26, accounting for roughly 60% of total HBM sales; its planned 2027 HBM supply is effectively sold out, with customer negotiations concluded at target pricing levels, though major clients continue to request additional volumes. Samsung also claims it has achieved its goal of bringing its HBM market share in line with its standing in the broader DRAM market (TrendForce ranked Samsung as the top DRAM supplier in 2Q26 with a 39.4% share). Against a tightening supply outlook, Samsung has finalized long-term memory supply agreements (LTAs) with 10 major customers and is negotiating with another 10, and reportedly sees its target of securing LTAs covering 60–70% of production capacity by 2030 increasingly within reach; Samsung expects chip supply to tighten further in 2027. On pricing, DRAM average selling prices (ASPs) climbed around 20% QoQ in 3Q26 and NAND gained a high-teens percentage QoQ, per News 1 citing Kim Jae-june, Executive Vice President of Samsung Electronics' Memory Business; shipment growth was more modest, with DRAM volumes up a low- to mid-single-digit percentage and NAND up a mid-single-digit percentage sequentially.
SK hynix reported its Q3 2026 quarterly results with a record $78.129 billion in net revenue and shared a market outlook: it expects memory demand to continue outpacing supply through 2030, with a grim outlook for the consumer market. The source states the main supply constraint is the complexity of leading-edge semiconductor nodes and the lengthy lead times for fab construction, which take years to translate into regular mass production volumes. On pricing, the average selling price of memory modules in Q3 increased by over 20% compared to Q2; SK hynix suggests this means consumer electronics device prices might jump by more than 20% once memory inventory is depleted. The company expects a decrease in PC and smartphone shipments, offset by a strong rollout of AI data centers. About 14 major customers, including most hyperscalers, have signed 5-year long-term agreements that will account for over 50% of total capacity sold for 2027 and 2028. The company also cited its long-term supply agreements and expansion plans involving new fab capacity and facilities under construction. The supply-demand gap and the possible consumer electronics price increase are company expectations, not achieved results.
SK hynix reported record 3Q26 results: revenue topped KRW 100 trillion for the first time, reaching KRW 104.62 trillion; operating profit jumped 38% quarter over quarter to a fresh high of KRW 83.33 trillion, pushing its operating margin to a record 80%. Per ZDNet citing FnGuide, analysts had forecast average Q3 revenue of KRW 98.2257 trillion and operating profit of KRW 76.964 trillion, so results exceeded market expectations. Per Yonhap Infomax, DRAM average selling prices (ASPs) climbed by a high-20s percentage quarter over quarter in 3Q26, with roughly 10% shipment growth; NAND ASPs rose by a mid-20s percentage, more than offsetting a slight dip in shipment volumes; server DDR5 sales surged more than 40% sequentially (Chosun Biz). The company has secured long-term supply agreements (LTAs) with 14 major customers, including global cloud service providers (CSPs), up from 10 in 2Q26, and is exploring extensions beyond the typical five-year term with some clients. Existing LTAs already cover more than 50% of its planned production capacity for both 2027 and 2028; per Chosun Biz, with additional customer demand under negotiation, DRAM and HBM output is effectively sold out through 2029; per The Economist Korea, SK hynix expects memory supply shortages to persist through 2030. Per iNews24, the company has finalized negotiations with major customers on 2027 HBM volumes and pricing, with contract terms reflecting HBM4's higher value, and expects the profitability gap between HBM and conventional DRAM to narrow significantly; it projects HBM4 to surpass HBM3E in both shipments and revenue in 4Q26, becoming its flagship HBM product. Amid market speculation that NVIDIA may favor 8-Hi HBM4 over the previously planned 12-Hi HBM4E for Rubin Ultra, CFO Kim Woo-hyun reaffirmed that 12-Hi HBM4 deliveries remain on track with customer-agreed schedules. To respond to surging HBM demand, SK hynix will ramp up M15X to maximum capacity by the end of the year to increase HBM4 production.
According to Trendforce, citing supply chain sources and local media, TSMC is weighing raising prices for its Chip on Wafer on Substrate (CoWoS) advanced packaging technology by as much as 20%; TSMC has yet to confirm the report. The reported cause is strained capacity amid AI demand and longer delivery times for chipmaking tools: equipment lead times have reportedly stretched from three to six months to as long as eight months, and TSMC has reportedly placed this year's equipment orders at existing prices instead of negotiating discounts. CoWoS combines logic dies and HBM stacks in a single package; Nvidia's Blackwell already pairs two large GPU dies with eight HBM3E stacks, while the upcoming Rubin and Rubin Ultra are expected to push integration further and increase pressure on packaging. Testing is another bottleneck: Blackwell reportedly takes three to four times longer to test than Hopper, and Rubin could need as much as seven times longer; server CPUs and custom ASICs also compete for advanced packaging capacity. Background: TSMC deputy co-COO Cliff Hou said that by July the company's expected equipment needs had reached 1.9 times its original estimate; earlier this month GlobalFoundries agreed to produce silicon interposers for TSMC's CoWoS in the U.S. under a five-year contract worth $2 billion, with production expected to ramp up in the first half of 2028; TSMC is reportedly also considering broader price increases for 2027, with advanced-process wafer prices expected to rise 5% to 10%, steepest for 2nm and 3nm-class node customers, and customers seeking capacity beyond original allocations facing premiums that could push some costs up by as much as 25%. Industry estimates cited by Trendforce put TSMC's monthly capacity at over 106,000 wafers in 2026, with a target of 227,000 wafers in 2027. If both packaging and wafer price increases materialize, AI hardware costs will likely climb further.
CoWoS先进封装先进制程晶圆硅中介层TSMC, Nvidia and 3 totalTom's HardwarePrice Movement
China's semiconductor and electronics supply chains are reporting a wave of price increases: Goke Microelectronics has raised quotes for hybrid-packaged memory products, while Hygon is considering higher CPU and deep computing unit (DCU) prices. According to the source, the moves reflect rising costs for raw materials, components, and upstream supplies; however, the source states that whether they can help China escape deflationary pressure remains uncertain. Note: Goke's quote increase is an observed action, whereas Hygon's price increase is only under consideration and not confirmed as implemented.
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SK hynix is scheduled to report 3Q26 results on October 28. Per Newsis, market consensus projects 3Q26 consolidated revenue at KRW 98.23 trillion and operating profit at KRW 76.96 trillion, up 301.76% and 576.11% year over year; per Chosun Biz, that implies a 78.4% operating margin, with fourth-quarter operating profit projected to climb further to KRW 87.27 trillion. Brokerage estimates are widely split: SK Securities projects third-quarter operating profit of KRW 79 trillion, while DS Investment & Securities and Meritz Securities forecast KRW 70.1 trillion and KRW 80.1 trillion respectively—a gap of KRW 10 trillion. Per Chosun Biz citing industry sources, amid delays in NVIDIA's Rubin rollout and longer-than-expected performance tuning for mass-produced chips, SK hynix's HBM4 shipments may have fallen short of expectations for a second consecutive quarter in 3Q26; per Money Today citing JPMorgan, HBM4 ASPs are estimated to rise 121% by 2027 compared with 2025 levels. Per DealSite citing Hana Securities, after a 30% jump in DRAM ASPs and a mid-50% surge in NAND ASPs in 2Q26, third-quarter DRAM ASPs are expected to rise another 21% QoQ, potentially lifting the DRAM segment's operating margin to 83%, with NAND ASPs projected to gain 17% sequentially. On LTAs: Samsung reportedly plans to allocate 60–70% of its memory production capacity to long-term contracts; SK hynix disclosed at its July earnings call that it had signed multi-year deals with around 10 customers, including major clients; per Business Post citing KeyBanc, HP and Dell have extended their memory supply agreements with Micron through 2031, while Alphabet is seeking contracts with memory suppliers lasting until 2035. Separately, SK hynix has decided to shelve the IPO of its U.S. subsidiary Solidigm, with no concrete funding plan disclosed; per Hankook Ilbo, potential options range from internal cash and borrowing to joint ventures and customer-backed financing tied to long-term supply agreements.
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Driven by AI demand, memory costs in 3Q 2026 increased by 350% year-on-year, causing PC and smartphone shipments to decline 20% and 22% respectively, while electronics production growth accelerated globally.
According to Commercial Times, institutional investors remain optimistic about the memory industry's long-term outlook, supported by expanding AI inference demand and limited new supply of mature memory products, despite slowing gains; fourth-quarter DRAM contract prices in 2026 are expected to rise about 20% quarter-on-quarter. The projected increase marks a slowdown from approximately 80% in the second quarter and 40% in the third, which the report attributes to a higher comparison base, weakening end-market purchasing power, and price ceilings under long-term agreements (LTAs) gradually taking effect. CXMT has announced progress in its next-generation 4F² DRAM architecture, which institutional investors note could theoretically reduce memory cell area by about 33% compared with the mainstream 6F² design, though mass production still faces challenges involving yields, leakage current, and data retention; it remains unclear whether the 4F² design applies to the entire DRAM cell or only specific areas, with full commercialization generally expected after 2028, and MoneyToday notes CXMT's announcement has yet to significantly affect DRAM spot prices, which continue to rise. Per Chosun Biz, companies including Apple and Tesla have raised the possibility of turning to Chinese suppliers such as CXMT and YMTC as memory costs climb, though analysts see limited near-term price pressure given constraints on Chinese suppliers' pricing competitiveness, available volumes, and sales markets. According to Commercial Times, if NVIDIA switches Rubin Ultra from 12-Hi to 8-Hi HBM while keeping the number of stacks per GPU and capacity per DRAM layer unchanged, HBM capacity per GPU would fall by about 33%, while the same DRAM die supply could theoretically support 50% more GPUs; TrendForce notes 8-Hi HBM is expected to cost 10–20% more per Gb than 12-Hi in 2027. Institutional investors note that larger AI models, longer context windows, and growing KV cache requirements are driving demand for greater memory capacity and bandwidth, particularly server DRAM and enterprise SSDs.
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The source states that AI data center investment continues to expand, keeping the global memory market undersupplied in the fourth quarter of 2026. Rising DRAM and NAND Flash contract prices are boosting expectations for Samsung Electronics and SK Hynix in 2027; however, the source also notes that weak consumer demand and long-term agreement (LTA) price caps will limit further price increases.
DRAMNAND FlashSamsung Electronics, SK HynixDigiTimes AsiaPrice Movement
Rising memory prices and tightening supply are reportedly pushing some Chinese smartphone makers to turn to salvaged memory chips. According to TechNews, some brands are said to be sourcing memory chips recovered from discarded phones, potentially including used iPhones, through traders in Shenzhen's Huaqiangbei electronics market. Sources say memory procurement costs have surged, with some chips reportedly costing up to RMB 500 more per unit; the Shenzhen local government is also rumored to be offering smartphone brands subsidies of around RMB 300 per unit, leaving manufacturers to absorb roughly RMB 200. Unable to fully pass on the increases, some brands are reportedly cutting production and sales volumes to limit losses. TechNews notes the reported price increases, subsidies, and use of salvaged chips have yet to be confirmed by Chinese authorities or the companies involved, and such chips are largely limited to ultra-low-cost, unbranded smartphones and are unlikely to enter flagship supply chains. As background: TrendForce says AI server demand continues to squeeze DRAM supply, with shortages and price increases expected to persist into 2027; TrendForce projected global smartphone production would fall 14% year over year to approximately 1.07 billion units in 2026, a forecast revised upward due to earlier-than-expected purchases and restored production. Caijing's April investigation found a Shandong recycler purchased around 1,000 discarded phones in March and dismantled more than 600 for potential chip resale, with some nonfunctional devices reportedly fetching more than RMB 100 each; some recyclers preferred Android phones from OPPO, vivo, and Huawei, while sources told TechNews that Huaqiangbei traders primarily purchased used iPhones. A September STAR Market Daily investigation found refurbished chips can serve lower-end applications such as automotive accessories, IoT devices, and overseas refurbished phones, but analysts cautioned that salvaged chips face yield losses and compatibility risks, and recycling premiums could quickly disappear if major chipmakers adjust production.
Growth in the global TV market is under pressure, but premium models are poised to expand. As rising memory prices fuel "chip inflation" and squeeze margins on budget TVs, Samsung Electronics and LG Electronics are reshaping their product mixes, strengthening OLED and Micro RGB offerings to support pricing through picture quality and feature differentiation.
memoryOLEDMicro RGBSamsung Electronics, LG ElectronicsDigiTimes AsiaPrice Movement
CanSemi debuted on the ChiNext board on October 13 with an IPO price of CNY 12.01 per share; shares opened at CNY 45, up 274.69%, raising approximately CNY 7.5 billion.
According to The Elec, ASML reportedly plans to raise prices by 10% on all replacement parts supplied to South Korea, covering both EUV and DUV lithography systems. The report notes that ASML notified Samsung Electronics and SK hynix of the planned increase through its South Korean subsidiary in early September, and the new prices will apply to deliveries starting in January 2027. The increase covers everything from regularly purchased consumables to major components replaced due to failures or declining performance; while ASML has previously adjusted prices for individual parts due to rising raw material costs or supply shortages, an across-the-board 10% hike is unusual, and industry sources suggest the company is seeking a larger share of its customers' profits. ASML is also reportedly discussing higher prices for newly ordered lithography equipment with major customers. For context, ASML generated €8.193 billion in revenue from services, replacement parts, and upgrades for installed equipment last year, roughly 25% of its total revenue of €32.667 billion, and expects this business to grow by more than 30% this year. According to Reuters, its EUV machines priced around US$200 million each are nearly sold out through 2027, and next-generation High-NA EUV systems are priced at roughly US$400 million each. ASML has also reportedly sought a 10% price increase for DUV lithography equipment, with some Chinese customers accepting, while TSMC is said to be resisting price hikes for both EUV and DUV systems; Applied Materials said in August that higher prices were supporting margin expansion, Tokyo Electron said in late July it was negotiating price adjustments to offset rising costs; lead times for certain deposition equipment components have increased from four months to as long as 10 months, and some Japanese-made laser-processing components face delivery times of up to 40 months. The source does not state a single definitive cause, linking the increases to AI-driven capacity expansion, inflation, and rising raw material costs.
EUV光刻系统更换零部件DUV光刻系统更换零部件EUV光刻设备ASML, Samsung Electronics and 6 totalTrendForcePrice Movement
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ASML, Samsung Electronics, SK hynix, Applied Materials, Tokyo Electron, TSMC
ASML will raise prices by 10% across replacement parts supplied to South Korea, covering all parts for extreme ultraviolet (EUV) and deep ultraviolet (DUV) lithography systems, with the new prices taking effect for deliveries starting in January 2027. According to industry sources, ASML headquarters notified Samsung Electronics and SK Hynix of the proposed increase through its South Korean subsidiary in early September, and the increase was finalized after discussions with the purchasing organizations of both companies. Prices will rise for everything from consumable parts purchased regularly to major components replaced because of failures or performance degradation, raising the cost of keeping the equipment operational. Industry sources say ASML has traditionally adjusted prices for individual parts only when raw material costs rose sharply or specific materials became difficult to procure, making a blanket 10% increase unusual; an industry official said component prices have risen across the board but ASML also appears to be seeking a larger share of the profits its customers are making. ASML separately reports revenue from services, parts and upgrades for installed equipment, which totaled €8.193 billion last year, accounting for 25% of total sales of €32.667 billion, and the company forecast this revenue would grow by more than 30% this year. Prices for newly ordered equipment are also likely to increase, and ASML is discussing equipment price increases with major customers. The Information reported in July that ASML had notified Chinese semiconductor manufacturers and other customers of a 10% increase in DUV equipment prices, with some customers accepting, while largest customer TSMC was reportedly opposing the increase. Industry observers expect the across-the-board increase, accepted by Samsung Electronics and SK Hynix, to strengthen the position of other equipment and component suppliers seeking price increases: Applied Materials said in August that prices had risen for both new and existing products, Tokyo Electron said in late July it was pursuing price adjustments including for equipment already on the market, and Advanced Energy Industries said it had raised prices for some product lines. The source states the cause: AI data center investment has prompted memory makers and foundries to expand capacity simultaneously, driving up equipment and component orders while suppliers need time to expand production, creating a supply-demand imbalance; rising inflation and raw material costs have added to supplier cost burdens, giving suppliers greater negotiating leverage.
EUV lithography system replacement partsDUV lithography system replacement partsASML, Samsung Electronics and 3 totalThe ElecPrice Movement
Samsung Electronics is seeking prices for its next-generation HBM4 that are more than three times its current HBM3E prices. This significant increase is expected as the company transitions its main product from HBM3E to HBM4. Bullish. Analysts believe this shift will further boost the company's profitability.
HBM4HBM3ESamsung ElectronicsDigiTimes AsiaPrice Movement