Apple has confirmed it has reached long-term supply agreements with Hynix, Intel, Micron, Samsung and Toshiba to secure the supply of NAND flash memory through 2010 for their flash-based iPod digital audio players.
Under these agreements, Apple intends to prepay a total of US$1.25 billion for flash memory components during the next three months. “We want to be able to produce as many of our wildly popular iPods as the market demands,” said Steve Jobs, Apple’s CEO. Apple indicated that it has shipped over 30 million iPods and the company expects iPod demand to remain strong.
Yesterday Intel and Micron announced a new joint venture to manufacture NAND memory.