SEOUL, Feb 3, 2026, 18:20 KST
Apple warned analysts that its March-quarter results will be limited by supply issues, specifically with advanced processors from TSMC. The company is also facing shortages in storage and memory components. CEO Tim Cook pointed to constraints in “advanced node capacity,” while CFO Kevan Parekh said the guidance is based on their “best estimates of constrained supply.” (Tom’s Hardware)
The warning comes as the memory market tightens again. On Monday, TrendForce raised its forecast for conventional DRAM contract prices, now expecting a 90% to 95% surge in the January–March quarter compared to the previous one. The firm pointed to “persistent AI and data center demands” that are tilting bargaining power toward suppliers. DRAM, or dynamic random access memory, serves as the working memory in phones and PCs. (Reuters)
On Jan. 29, Apple predicted March-quarter revenue growth between 13% and 16%, but Cook told investors the company was “currently constrained” and couldn’t specify when supply and demand would even out. He also cautioned that the memory shortage would hit gross margin “a bit more” this quarter, following a holiday period when higher component costs were less obvious in the results. (Reuters)
Cook noted that memory prices are “increasing significantly” but dodged questions about possible product price hikes amid the shortage. Samsung Electronics and SK hynix have warned phone and PC makers about supply disruptions, as production shifts toward high-bandwidth memory (HBM) for AI servers. SK hynix added that customers are “adjusting purchase volumes” and thinking about cutting memory specs on cheaper devices. Research firms IDC and Counterpoint Research have downgraded their forecasts, now predicting global smartphone sales will shrink by at least 2% this year, while the PC market is expected to drop at least 4.9%. (Reuters)
Samsung, a major player in both memory chips and smartphones, has signaled that supply issues might drag on through 2026 and 2027. Memory chief Kim Jaejune told analysts to expect a “significant shortage” still ahead. Meanwhile, Cho Seung called 2026 a “challenging year” for devices, citing rising component costs. (Reuters)
Wall Street is spinning the chip squeeze as a win for the manufacturers. Analysts at William Blair dubbed the ongoing upcycle a “supercycle in full force,” while Mizuho analysts highlighted “pricing tailwinds” benefiting legacy DRAM and NAND, the flash memory common in storage. (Business Insider)
Apple jumped roughly 4% in early U.S. premarket trading Tuesday, while Micron climbed around 5.5%. TSMC’s U.S.-listed shares also gained about 3%.
The story could still change. If foundry capacity frees up or phone demand drops off after a strong holiday season, Apple might reclaim supply quicker than anticipated, and memory buyers could resist price hikes. On the other hand, if AI demand continues to dominate, the opposite happens — fewer devices stocked, stripped-down specs on budget models, and a fresh battle over chip priority.
