TSMC waits on DRAM to finish Apple chip packaging

TSMC reportedly has a large stockpile of Apple chips awaiting DRAM deliveries from Apple suppliers before the processors can be completed and shipped. The company is using Integrated Fan-Out Package on Package, or InFO-PoP, a 3D wafer-level fan-out package that places memory directly above the SoC die. The design reduces board space by avoiding an LPDDR5X module occupying over 100 mm² of PCB area.

Apple is moving to secure additional DRAM supply with less than six weeks until the expected launch of the iPhone 18 series and the iPhone Ultra. Micron remains Apple’s primary source for LPDDR5X memory used across devices and is described as the main supplier for the next-generation iPhone, while SK hynix and Samsung also provide DRAM.

Apple has reportedly tried to bring more manufacturers into its supply chain, including talks with CXMT over a volume-based discount, but CXMT reportedly rejected the proposal. TSMC cannot assemble or ship the processors until DRAM dies are integrated into the package, and the packaging process reportedly takes up to two weeks, leaving a tight production window around the next iPhone launch.