Apple turns to Samsung for 3D NAND chips for the iPhone 8, as NAND suppliers fail to meet up to 30% of demand

Apple could release iPhone models with much better storage capacity, thanks to the 3D NAND technologies

Apple could release iPhone models with much better storage capacity, thanks to the 3D NAND technologies


Apple is projected to ship between 50 and 60 million iPhone 8 devices by the end of this year, with a total count of iPhone shipments estimated at 224.7 million. Apart from the so-very-much anticipated anniversary Apple phone, dubbed the iPhone 8, Cupertino is also most probably cooking iPhone 7s variants, planning to unveil them all this autumn. ‘Elves’ along Apple’s supply chain are surely hard at work, building a mind-numbing amount of slick iPhones, out of the finest particles available.

When they are available, that is. According to a recent report, SK Hynx and Toshiba, two of Apple’s 3D NAND tech suppliers, have ran into difficulties with the provision of NAND chips for the upcoming set of iPhones. Apparently, the combined shortfall of chips supply for the companies’ business with Apple was up to 30% of demand. And what do you do if a smaller store doesn’t have a product you need – well, you go to a bigger store.

As per the report, Apple has turned to Samsung for the provision of NAND chips for the next iPhones, relying on Samsung’s stable yield rates for 3D NAND technology and push in the area. However, we don’t have details about the terms or the scale of their relationship, and have not yet seen an official announcement by either company.

NAND flash chips are basically your smartphone’s hard drive; while 3D NAND is a sophisticated, but not yet widely available, form of those chips, where layers of memory cells are stacked on top of each other, allowing for better storage capacity, without taking more physical space inside your phone.

Samsung’s Galaxy S6 phones were the first available devices to feature the NAND tech, while Apple used 48 layered NAND chips in the iPhone 7. It is speculated that iPhone 8 will house 64 3D NAND layers, while the report also outlines that SK Hynx plans to supply 72-layered units.

We can’t know for sure what storage options Apple will unveil in the next iPhones, or whether 3D NAND will be exclusive for its premium anniversary handset. On the face of the report, we could expect to see more gigabytes in the next iPhone lineup, but nothing is certain until Cupertino has confirmed it. And we might have to wait for the grand unveil before we have an answer.

Source: DigiTimes

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73 Comments

1. Atrixboyyy

Posts: 575; Member since: Nov 03, 2011

Samsung has apple in their pocket chip wise. but damn not even 30%

2. IT-Engineer

Posts: 461; Member since: Feb 26, 2015

30 percent is actually a huge number for just one part, apple also rely on Samsung for other parts.

6. Atrixboyyy

Posts: 575; Member since: Nov 03, 2011

sorry been doing alot of math and read it backwards.

14. trojan_horse

Posts: 5868; Member since: May 06, 2016

You're welcome :)

27. Bankz

Posts: 2463; Member since: Apr 08, 2016

Apples bitch.

29. trojan_horse

Posts: 5868; Member since: May 06, 2016

More like Samsung's bitch, since it is Apple who is, once again, relying on Samsung for the production of it's iPhone... Is there any one thing that Apple supplies to Samsung for the production of a Galaxy smartphone? Nope! So, it is Apple who's Samsung bitch, buddy.

32. Nopers unregistered

Symbiotic relationship. Apple gets the parts to sell in a phone and Samsung gets money. Samsung probably makes more money supplying Apple with parts than they do on any one galaxy phone.

34. trojan_horse

Posts: 5868; Member since: May 06, 2016

"Samsung probably makes more money supplying Apple with parts than they do on any one galaxy phone." But you do realise that Samsung is much more that just a smartphone OEM, right? So that's the perk of being diverse in tech.

37. kiko007

Posts: 7391; Member since: Feb 17, 2016

Not might, fam. Samsung's mobile revenue has been steadily declining for 4 years now. Their components sales have definitely been on the uptick, and have long since past their Mobile Division. The components sales to Apple by themselves beat out any Sammy mobile profits by a significant margin. That's a trend that isn't changing anytime soon either.

39. Heisenberg

Posts: 366; Member since: Feb 11, 2015

Why always make it Apple vs Samsung Mobile?

41. kiko007

Posts: 7391; Member since: Feb 17, 2016

Because there's no Apple Fabrication? And is not the genre of this site MOBILE? Samsung is also a military contractor... should that be added as well?

49. AxelFoley

Posts: 536; Member since: May 30, 2017

This is why if you insist on talking money, then you need to talk all of it. Or else, what's the point of talking money? "apple-rulz (Posts: 161; Member since: 27 Dec 2016) ...... Apple keeps Samsung afloat...." Diversification with those military contracts, chemicals, and life insurance are what allows the company to sell its electronics at multiple price points. If Samsung decides to roll-up the mobile division and put it under Cheil, then what? All the money goes to the bribery fund of one family, with crumbs for investors. And last I checked, this website also discusses driverless cars, home speakers, laptops, connected homes, smart TVs , and car software.

44. AxelFoley

Posts: 536; Member since: May 30, 2017

"The components sales to Apple by themselves beat out any Sammy mobile profits by a significant margin." What is the dollar amount of component sales to Apple?

35. kiko007

Posts: 7391; Member since: Feb 17, 2016

Who gets the credit for a building: The patrons of said structure, or the Contractor hired to build it?

36. trojan_horse

Posts: 5868; Member since: May 06, 2016

And who ultimately benefits from a building: The patrons of said structure, or the Contractor hired to build it?

40. kiko007

Posts: 7391; Member since: Feb 17, 2016

Good response, to which I'd say both. Patrons get their structure, and contractors get paid and likely some form of a future partnership if they did a bang up job. My point was... everybody's everyone else's bitch... which is how all this works in the grand scheme. Apple relies on parts makers like Samsung. Samsung relies on Apple to buy said parts in bulk. Other OEMs rely on both for any leftovers regarding profit and/or parts.

42. trojan_horse

Posts: 5868; Member since: May 06, 2016

"Other OEMs rely on both for any leftovers regarding profit and/or parts." Wouldn't necessarily call it "leftovers", considering that Samsung isn't supplier to Apple alone, but has many other OEMs on it's list.

31. nikhil23

Posts: 414; Member since: Dec 07, 2016

you forgot "is a".. Apple is a bitch

59. Michigan

Posts: 246; Member since: Nov 19, 2016

yeah Apple IS A BIATCH, next time Sammy will make all components for Apple the way I see it, which means all of it.#31

3. Papa_Ji

Posts: 763; Member since: Jun 27, 2016

So, Basically apple will launch iGalaxy S8 with older samsung hardware.

5. ibend2

Posts: 159; Member since: Mar 16, 2016

*grab popcorn*

24. You_Dont_Say

Posts: 431; Member since: Jan 26, 2015

An iPhone will never be a GS8 because the iPhone performs better in real world performance, in literally every category. The GS8 has a widely documented problem with lag and microstutters. It's a fact that the GS8 doesn't touch the iPhone. But in the words of TedKord, keep trying, it's cute.

30. trojan_horse

Posts: 5868; Member since: May 06, 2016

"The GS8 has a widely documented problem with lag and microstutters" And there is a documented problem of iOS/iPhone failing three times more than the Droids. But in the words of Tedkord, keep trying, it's cute. :)

73. jack11141

Posts: 73; Member since: Sep 30, 2015

Ios hides lag behind its animation. Ios isnt better than android when it comes to performance. Just make an iphone with quad hd+ display and allow ios to interact the background task just like android and then check which OS has smoother performance. My Nokia 1100 never lags while opening contacts, firing torch, opening dialer, calculator and I'm sure Nokia 1100 can beat smartphones runnung mentioned basic tasks. Ios seems to be smoother just because it pauses most of its apps in background while android keeps running background tasks.

45. tedkord

Posts: 17051; Member since: Jun 17, 2009

Cool, now I get to live rent free in both yours and Mxyflashmite's mind.

46. AxelFoley

Posts: 536; Member since: May 30, 2017

"PERFORMANCE issues and high failure rates continue to plague iPhones" https://betanews.com/2017/02/28/ios-performance-issues-failure/ But don't let facts get in the way of a good fairytale.

66. Cicero

Posts: 1101; Member since: Jan 22, 2014

Put ios on GS8 and you will see how fast it is.

71. omnitech

Posts: 1131; Member since: Sep 28, 2016

iPhone performs like crap in some of the most important categories. Crap 750p display No variety or customization Lack of features Poor file management etc.

8. gehrig

Posts: 423; Member since: Apr 17, 2014

...and the iPhone 8 will still outperform Samsung's 2018 flagships.

16. trojan_horse

Posts: 5868; Member since: May 06, 2016

"and the iPhone 8 will still outperform Samsung's 2018 flagships." Not sure what you mean by Phone 8 will "outperform" Samsung's 2018 flagship... Need actual features to make use of the "outperforming" (hardware?) you're talking of. Meh.

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