Apple will no longer employ memory chips from China’s YMTC

The move comes after the increased US export controls against working with Chinese companies.

Apple will no longer employ memory chips from China’s YMTC
Image credits: Apple

U.S. tech giant Apple Inc. has delayed plans to use memory chips from China’s Yangtze Memory Technologies Co (YMTC) in its products after Washington imposed export controls against Chinese technology companies.

Apple, the second largest smartphone vendor in the world, intended to use the chips for iPhones sold in the Chinese market, ultimately purchasing up to 40% of the chips needed for all iPhones from YMTC.

The U.S. Commerce Department is investigating YMTC over whether it infringed Washington’s export controls by selling chips to blacklisted Chinese company Huawei Technologies.

Apple will no longer employ memory chips from China’s YMTC
Image credits: Apple

Apple planned to start using state-funded YYMTC’sNAND flash memory chips as early as this year.

An anonymous source told Nikkei Asia, “Th” products have been verified, but they did not go into the production lines when mass production of the new iPhone began.

Apple is not banned from buying from YMTC, but there are limitations on U.S. companies sharing designs or technologies with companies on the Unverified List. YMTC was added to the list on October 7, 2022, after it failed to provide the U.S. with specific information about its end users.

“YMTC is government-subsidized so that they can outprice competitors,” said another source.

Biden administration’s comprehensive set of export rules on China is a proposal to slow Beijing’s technological and military advancements by shortening the country’s supplies off from specific semiconductor chips made anywhere in the world with U.S. equipment.

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