Apple is reportedly changing how it buys NAND flash memory for its devices. This shift moves the company away from short-term spot purchases toward long-term supply agreements. Buyers and industry watchers should note that this strategy could stabilize component availability for future hardware releases.
Apple shifts from spot purchases to long-term supply agreements with Kioxia
The potential partner in this new arrangement is Kioxia Holdings. TrendForce and Kuai Keji report that Apple may sign a Long-Term Agreement (LTA) with the memory manufacturer. This partnership would mark a departure from Apple's traditional approach of leveraging its massive volume to negotiate flexible, short-term contracts.
According to the reports, the rumored contract would last between three and five years. The agreement is said to have no price cap, allowing costs to fluctuate based on market conditions rather than fixed limits. This arrangement provides Kioxia with revenue predictability, though it may leave Apple vulnerable to increased costs if NAND demand surges.
This supply chain move comes just days before Apple's fall product event. The company is scheduled to unveil the iPhone 18 Pro and foldable Ultra models on September 9, 2026. Securing long-term NAND supply now ensures the company has the necessary storage components ready for these upcoming device launches.
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