Apple is reportedly sitting on more than $1 billion worth of finished A20 Pro chips that can’t ship inside any phone yet, because there simply isn’t enough RAM to go with them. That’s not a minor logistics hiccup. That’s a serious problem, and it’s happening just weeks before Apple’s expected September event.
According to Notebookcheck, the information comes from analyst Tim Culpan, who says chip supplier TSMC has millions of Apple A20 Pro processors ready to go with nowhere to go. The bottleneck is DRAM. There isn’t enough of it available to pair with those chips at the scale Apple needs for a global iPhone launch. Apple apparently tried to bring Chinese memory maker CXMT into the supply chain to ease the pressure, but negotiations fell apart over pricing. So Apple is still leaning entirely on its usual trio of SK Hynix, Micron, and Samsung.
Here’s the bigger problem with that. All three of those suppliers are increasingly shifting their production capacity toward server-grade memory, which pays better than consumer DRAM. AI infrastructure is sucking up memory supply right now, and smartphone makers are lower on the priority list. It’s a trend that’s been building for a while, and the iPhone 18 Pro is now caught directly in the crossfire.
This isn’t just theoretical pressure either. The MacBook Air already ran into stock problems because of the same shortage, with units becoming difficult to get on short notice. That’s a real-world preview of what could hit iPhone buyers in September if things don’t improve fast.
So what does this mean for the launch? There are two likely outcomes. Apple could delay the announcement, which feels unlikely given how locked-in the September iPhone cycle is at this point. Or the phones launch on schedule but supply is thin, meaning anyone who doesn’t pre-order immediately could be waiting weeks to actually get one. Neither option is great for a product line that already has bad news attached to it. Pricing rumors have the iPhone 18 Pro starting around $1,399, and the Pro Max is reportedly facing production costs that are $300 higher than the previous generation. Add supply constraints on top of that, and launch day could be genuinely rough.
To be fair, Apple has dealt with supply crunches before and managed to pull off successful launches anyway. But this situation is a little different because the chip shortage is coming from outside Apple’s direct control. The A20 Pro is already made. The manufacturing problem is solved. The hold-up is RAM, a component Apple doesn’t make itself and has to compete for on the open market like everyone else.
The iPhone 18 Pro, Pro Max, and the rumored iPhone Ultra are still expected to be major upgrades with better cameras, larger batteries, and new display tech. The hardware ambition isn’t the issue here. Getting those phones into customers’ hands on time is.