Memory Price Tsunami Swamps Apple as Tim Cook Hikes Prices 20%

Yahoo Finance ·

After two decades of patrolling the dark corners of suburbia as a police officer, Rich Duprey hung up his badge and gun to begin writing full time about stocks and investing. For the past 20 years he’s been cruising the markets looking for companies to lock up as long-term holdings in a portfolio while writing extensively on the broad sectors of consumer goods, technology, and industrials. Because his experience isn’t from the typical financial analyst track, Rich is able to break down complex topics into understandable and useful action points for the average investor. His writings have appeared on The Motley Fool, InvestorPlace, Yahoo! Finance, and Money Morning. He has been featured in both U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, and USA Today.

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Reports say Apple raised product prices by 20% amid a 'Memory Price Tsunami'. The background appears to be supply constraints in DRAM·NAND and a Bill of Materials (BOM) increase from demand recovery, and Apple has moved to pass costs on to defend margins. This should boost near-term results for memory manufacturers and equipment vendors, but it raises concerns about weaker smartphone and PC demand and possible delays in cloud and AI capital spending. In the medium to long term, expanded memory-related CAPEX is likely to have positive spillover effects on the supply chain and the equipment sector.

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