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The Motley Fool·4 min read·medium

A Hidden Threat for Micron? Apple Is Eyeing a Fix for AI Memory Demands

C
Chris Neiger
A Hidden Threat for Micron? Apple Is Eyeing a Fix for AI Memory Demands
✦AI Summary

Apple is reportedly in talks with AI startup PrismML to reduce on-device memory demands for AI features by up to 15x. This move could help Apple maintain high profit margins without relying on expensive memory chips from suppliers like Micron.

Why it matters

This potential technological shift could disrupt the memory chip market and impact the financial outlook for major hardware suppliers.

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Apple ( AAPL +0.26% ) recently raised prices on many of its devices to offset rising memory prices, but it may have found a fix for soaring costs. A recent CNBC report said the company is in talks with an AI start-up that reduces on-device memory demands by 15x.

Squeezing vastly more memory processing capabilities from the same amount of memory could be bad news for Micron Technology ( MU +0.04% ) . Here's what both Apple and Micron investors should know.

Apple recently increased the prices of many of its devices to keep pace with soaring memory costs. Demand for memory chips has risen sharply as tech giants continue their massive build-out of AI data centers.

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