Apple is considering buying some of the flash memory chips destined for use in the iPhone from Chinese manfacturer Yangtze Memory Technologies, according to Nikkei Asian Review. The little-known chipmaker is set to begin producing NAND flash memory chips this year, but sources close to the discussions with Apple said it will likely be 2020 or later before Yangtze can produce enough parts to meet Apple’s standards.
The sources said the chips would be used only in iPhones destined for use in China, where Apple has been facing increasing pressure from the government on multiple fronts. Apple has shown a willingness to work with the Indian government to produce and assemble more of its products locally in exchange for more access to the country’s smartphone market, but it’s unclear if the Yangtze deal is part of any intervention on behalf of the Chinese government.
Apple currently buys its NAND flash memory chips from Toshiba, Western Digital, SK Hynix and Samsung Electronics, and the company’s iPhone orders account for 15 percent of all such shipments worldwide.
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