Report says Apple manipulating NAND flash prices

Industry insiders have accused Apple of using "questionable" methods in order to push down global NAND flash prices. For the uninitiated, Apple is the largest consumer of flash memory used for making its range of immensely popular iPod music players as well as Apple iPhones.

So what is the problem here? According to reports, "Apple is asking for larger volumes from its suppliers, like Samsung and Hynix, than it actually ends up buying. This causes multiple suppliers to ramp up production in anticipation of large orders, inflating supply and driving prices down."

Says an anonymous senior industry official to The Korea Times, "The company [Apple] doesn't make immediate purchases, but waits until chip prices to fall to the level the company has internally targeted."

Various posters over at the Ars Technica--which covered the original report--appear to be skeptical of the report, with some saying that this happens in just about every industry. Is this true? What is your opinion of this matter?

For more on this story:
- check out this article at Ars Technica

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