Apple is reportedly in talks (or "eyeing a partnership") with China's Yangtze Memory Technologies Co (YMTC) for NAND flash storage and ChangXin Memory Technologies (CXMT) for DRAM memory chips. This comes amid a global memory crunch driven by surging AI demand, which has squeezed supplies and driven up prices from the traditional "big three" suppliers: Samsung, SK hynix, and Micron. Tim Cook has publicly noted the pressure on memory costs and availability during recent earnings calls, with Apple in "supply chase mode" for components to meet iPhone demand. The timing ties directly to the U.S. Department of Defense's Section 1260H list (of companies allegedly linked to China's military). On February 13, 2026, an updated version briefly removed both YMTC and CXMT from the list opening the door for easier adoption by U.S.-focused companies before the Pentagon withdrew and reissued it (with additions like Alibaba, Baidu, and BYD, but the delisting of YMTC/CXMT appears to have stuck in discussions). This Section 1260H list isn't a full export ban like the Commerce Department's Entity List (where YMTC still faces restrictions), but it discouraged dealings due to national security optics and contracting limits. Removing them reduces a key political barrier for consumer tech firms like Apple, Dell, HP, ASUS, and others exploring Chinese memory to ease shortages and negotiate better terms with the big three (who've been playing "hardball" on pricing/allocation). YMTC (NAND/flash) has been expanding aggressively, aiming for a bigger global share by 2027, and was previously qualified/tested by Apple years ago (before 2022 U.S. curbs paused things). CXMT (DRAM) is scaling up production, including some HBM focus for AI, and PC OEMs are already in validation talks.