# Apple CEO John Ternus Addresses Memory Chip Supply Chain Crisis New leadership navigates geopolitical tensions and hardware innovation challenges for the iPhone Duo. - **Source:** [The Next Web](https://brifing.si/source/afe24b20-b275-4c19-b9a6-8bb3c8babae7) - **Published:** 2026-10-17 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/b71e0db7-0cd8-4eb1-b373-9db2665e7134 ## Leadership Transition and Crisis John Ternus assumed the role of Apple CEO on September 1, 2026, inheriting significant supply chain challenges. He explicitly characterized the ongoing memory chip constraints as a crisis. This assessment comes as the company navigates complex geopolitical pressures regarding component sourcing, specifically concerning the potential integration of Chinese-manufactured memory chips into their devices. ## Geopolitical Supply Chain Pressure Reports from July indicated Apple began testing memory chips from a Chinese supplier, triggering immediate pushback. A bipartisan group of US senators warned that such procurement could jeopardize national security. The US government has actively cautioned Apple against utilizing these components, forcing the company to weigh supply availability against regulatory and political risks. ## iPhone Duo Hardware Complexity The newly launched iPhone Duo, priced at $1,999, features a complex hinge mechanism containing over 100 precision parts. The device utilizes a custom polymer surface to address durability concerns. Despite the high-end engineering, consumer demand has pushed delivery timelines into 2027, highlighting the manufacturing hurdles associated with Apple's first foray into foldable technology. ## Strategic Stance on Outsourcing Ternus clarified that Apple does not intend to manufacture every component internally. The company focuses on building parts that provide a distinct competitive advantage. This philosophy extends to their AI strategy, where the new Siri model incorporates Google’s Gemini technology, a move Ternus defends as a pragmatic approach rather than a retreat. ## AI Integration and Market Focus Greg Joswiak, senior vice president of worldwide marketing, emphasized that Apple’s AI development targets everyday users rather than the niche Silicon Valley market. Addressing potential competition from OpenAI’s hardware initiatives, Joswiak stated that Apple does not feel threatened. The company remains committed to physical hardware, rejecting the idea that devices will eventually disappear. ## Government Relations and Diplomacy Ternus has initiated meetings with members of the Trump administration to ensure alignment on critical operational issues. Meanwhile, former CEO Tim Cook continues to serve as executive chairman, representing Apple’s interests in international markets. This dual-track approach aims to stabilize the company's global standing while managing domestic regulatory scrutiny and supply chain dependencies. ## Historical Perspective on Foldables Ternus has been involved in foldable device research since at least 2011, when he and five other engineers filed a patent application. Reflecting on early market entries from competitors, he noted that those initial foldable products felt cheap and lacked the necessary quality. This history informs Apple's current, more cautious hardware development cycle. ## Future Operational Outlook As Apple navigates the memory chip crisis, the company maintains that all options remain on the table to secure supply. The combination of high-cost hardware innovation and external geopolitical constraints defines the current leadership era. Success will depend on balancing these supply chain realities with the company's established commitment to premium, proprietary user experiences. ## Sources covering this story - https://thenextweb.com/news/john-ternus-time-interview-memory-crisis-iphone-duo — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._