The MacRumors Show
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PodcastThe MacRumors Show
Publisher/creatorThe MacRumors Show
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About this episode
On this week's episode of The MacRumors Show , we talk through how the global memory shortage is forcing Apple's hand across multiple key products, killing configurations, delaying launches, and prompting spec decisions that would have seemed unlikely a year ago. The pressure originates outside Apple's control. JPMorgan analysis cited by the Financial Times found that memory could account for as much as 45% of an iPhone's component costs by 2027 , up from around 10% today. Companies like Nvidia are reportedly outbidding consumer electronics makers for limited DRAM supply from Samsung, SK Hynix, and Micron, while cloud firms are locking in capacity with multi-billion-dollar upfront commitments. Apple, which buys memory for roughly 250 million iPhones per year, has shifted from a position where it could dictate terms to one where it must compete for supply, and component prices are being driven up as a result. The consequences are already visible in the Mac lineup. Apple last week removed the Mac mini's 256GB storage option , pushing its starting price from $599 to $799. Days later, it eliminated Mac mini models with 32GB and 64GB of RAM and stripped the M3 Ultra Mac Studio to a single 96GB configuration, with delivery estimates for remaining Studio models at 9 to 10 weeks. The Mac Studio had already lost its 512GB memory option in March, and multiple configurations became entirely unavailable in April . On Apple's April 30 earnings call , CEO Tim Cook acknowledged that both machines would be "hard to get for months to come" and said Apple expects "significantly higher memory costs" in the current quarter. The MacBook Neo was sold out through April and Cook described demand on the earnings call as “ off the charts ." The MacBook Neo uses binned A18 Pro chips, adopting manufacturing rejects from the iPhone 16 lineup with one GPU core disabled, repurposed rather than discarded to keep costs low enough to hit the $599 price point. Apple's initial production target is believed to be about five to six million units , but demand has since pushed the company to instruct suppliers to prepare for at least 10 million. TSMC's N3E production lines, where the A18 Pro was made, are now running at maximum capacity, with AI-related orders consuming much of the available output. A fresh manufacturing run for the A18 Pro would yield fully functional chips rather than defective ones, raising the per-unit cost before any expedited manufacturing premium is applied. Apple is now said to be weighing up its options for the MacBook Neo. The company is purportedly considering cutting the 256GB entry-level model, which would push the effective starting price up by $100 without changing any existing configuration's price, the same mechanism used with the Mac mini. Separately, Apple may be considering new color options to soften any price increase. Upcoming products are apparently being reshaped too. Weibo leaker "Fixed Focus Digital" has claimed in a series of posts that the standard iPhone 18 is being downgraded as a cost-cutting measure, with both display and chip specifications affected. Most recently , the leaker said certain parts are interchangeable between the iPhone 18 and the lower-cost iPhone 18e. For context, iPhone 17 and iPhone 17e differ meaningfully: the standard model has a larger ProMotion display, Dynamic Island , Ultra Wide camera, five-core GPU, and significantly better battery life, but it looks like there could be fewer differences with the next generation. A follow-up post framed the new split launch strategy, under which the iPhone 18 ships in spring 2027 rather than alongside the Pro models in the fall, as a deliberate commercial mechanism to smooth out demand. By extending the iPhone 17's flagship run, Apple is also said to be creating conditions under which a lower-specced successor will be more palatable. The split launch itself has been widely reported since last year, with Ming-Chi Kuo and Nikkei among those to have corroborated it. The launch of the rumored all-new high-end MacBook Pro or "MacBook Ultra" with an OLED display and touchscreen has also apparently slipped . Bloomberg 's Mark Gurman has said early 2027 is now looking more likely than late 2026 due to Apple's constrained memory supply cited as a factor.
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Episode summary
Welcome back to The Macrumor Show. I’m back in the UK, missing that Florida sun, and today’s theme is downgrades. Memory prices are spiking, rumors say the iPhone 18 may share parts with the 18E, and that has people nervous about value and timing.
AI server demand has blown up the market for RAM and flash, and even Apple can’t outrun it. Staggering launches looks strategic now: foldable iPhone plus 18 Pro models in the fall, then 18E, 18, and Air in spring 2027 to ease supply pressure on the Pro phones.
Calling it a delay feels off since we’ve expected a split release; what worries me is the word downgrade. If the 18 is truly worse than the 17 in any major way, that’s a problem.
I see it as a step down from what we’d normally expect, not a step back from the 17. Think A20 silicon that’s faster in CPU but with one fewer GPU core, slightly dimmer display, and less memory than wish lists—while the 18E benefits from shared parts.
I’m fine with trims if the phone still beats the 17 and stays ahead of the 18E; otherwise it’s a true downgrade. The panic-y phrasing makes this sound worse than it might be.
My bet is we lose a GPU core, skip 12 gigabytes of RAM, and shave some brightness, mostly to hold the price line. If something had to give, better the standard model than the E or the Pros.
Apple muddied the waters by turning SE into E and crowding the middle; I’d merge base and E at one fair price to simplify the lineup.
Cost cuts work best where they’re less visible. With memory possibly hitting around forty five percent of the build cost next year, Apple has to protect margins without gutting marquee features.
Is this crunch about RAM or storage? And could Apple gate Apple Intelligence to models with more memory? I know they won’t, but the thought crosses your mind when eight gigabytes is the new floor for those features.
It’s mainly RAM, though rising costs ripple everywhere. Pulling back on AI would be a disaster for perception, so they’ll find another way.
MagSafe keeps popping up as a cut target. Why drop a feature people actually use?
The foldable likely skips it, which weakens its status as a core feature. I could see it going Pro-only, with entry models relying on cases or Qi2 chargers to close the gap and save space and magnets.
As a no-case person, that hurts. I’d settle for a slim magnetic add-on if they really go there.
Adhesive rings exist, and the MagSafe ecosystem never grew like Apple teased. With Qi2 now standardizing faster wireless charging, walking it back on lower tiers becomes easier to justify if space and cost demand it.
On the foldable Ultra, rumors say no telephoto and missing Pro niceties, and that drives me nuts. If others can squeeze more cameras into slim folds, Apple should at least ship a solid version rather than hold out for perfect.
Gen one may feel sparse, but later versions usually catch up. Unlike Vision Pro, a foldable is still an iPhone, so long-term interest should hold.
I hope they have the patience to iterate; slab phones are not going away anytime soon. Honestly, a flip-style iPhone might have been the safer first step for mass appeal.
The Ultra’s volumes are low and the price is high, so it’ll get the memory it needs. The real pain hits high-volume devices like the standard iPhone and the new budget MacBook.
Speaking of, MacBook Neo demand is wild because it’s a great machine at a killer price, and now there’s talk of a price move. That feels too soon.
Neo used stockpiled binned A18 Pro chips from an older 3-nanometer run, and that pile is gone. Apple either revives that process or moves to A19, both pricier; the likely play is drop the 256 gigabyte tier, add colors, and ship a slightly stronger chip so the effective entry price rises without a sticker shock jump.
If it starts at 699 with 512 gigabytes and Touch ID, that’s the one I recommend anyway. I’m just stunned Apple didn’t foresee a five-hundred-dollar MacBook exploding in demand.
Research missed the spike, memory costs forced a pivot, and now Mac mini and Studio are constrained too. The ripple effects are everywhere.
Quick wrap: calling the iPhone 18 a downgrade to expectations is not the same as downgrading it below the 17. Some cuts may sting, but the sky isn’t falling.
Reality lands in the middle: a couple of true compromises, several tempered upgrades, and a price that stays put. The MacBook Ultra with OLED likely slips to next year, but I still expect a touchscreen when it arrives.
Let’s leave it there. Tell us what you think, email podcast at macrumors.com, and we’ll see you next week.
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