BlockBeats News, August 9th. According to The Wall Street Journal, Apple is testing ChangXin Memory Technologies (CXMT) storage chips in multiple product lines, including iPhone and MacBook. Apple has initiated preliminary supply negotiations with CXMT and aims to use the chips in devices sold in China. Sources familiar with the matter stated that Apple is seeking White House approval for this collaboration. With the AI boom causing a tight supply and rising costs of storage chips globally, Apple is raising product prices, and securing a Chinese supply chain may help alleviate the shortage.

Current U.S. regulations prohibit companies from transferring technology to CXMT, including communication of technical details and product specifications. Therefore, Apple cannot directly order custom chips from the company but can procure standardized products and engage in pricing negotiations. Even with compliance, Apple may still seek support from the Trump administration due to potential political implications. Using standardized chips may also force Apple to redesign some products.

CXMT's production capacity has been close to full utilization this year, with limited space available for new international customers. HP and Acer have used a small number of CXMT chips in devices sold outside the U.S. and aim to secure more supply for next year. Prices of some CXMT products are now comparable to Micron, SK Hynix, and Samsung, with certain products even priced higher. The company's revenue in the second quarter grew over 8 times year-over-year, accounting for 7% of the global DRAM market by revenue, and plans to more than double its capacity by 2028.