Apple Shares Drop 10% as Tim Cook Highlights Memory Crisis Impact

WHO:

NY Post - Tim Cook is the CEO of Apple.

Yahoo Finance - Apple is the iPhone maker and a technology company based in Cupertino, California.

WHAT:

NY Post - Apple stock dropped 10% following Tim Cook's warning about a "100-year flood" in memory prices.

Yahoo Finance - Apple reported $109.4 billion in revenue, a 16% increase from the previous year.

Yahoo Finance - iPhone revenue grew 22% year over year, reaching a record in the June quarter.

Yahoo Finance - Apple's Greater China revenue was $18.8 billion, below analyst estimates of $19.5 billion.

Yahoo Finance - The Services segment generated $30.7 billion, compared to estimates of about $31.3 billion.

Yahoo Finance - Apple expects fourth quarter revenue growth of 9% to 11%, below the consensus estimate of about 12.1%.

WHERE:

Yahoo Finance - Apple is based in Cupertino, California.

WHEN:

Yahoo Finance - Apple plans to unveil its next-generation iPhones at its annual showcase in September.

WHY:

Yahoo Finance - Tim Cook indicated that rising memory and storage costs are driven by the global AI infrastructure build-out.

Yahoo Finance - Apple has raised prices on its Macs and iPads due to increasing memory costs.

HOW:

Yahoo Finance - Tim Cook stated that Apple has paid more for memory in each of the past three quarters and expects costs to rise again in the September quarter.

(UPDATED July 31, 2026 19:28 UTC)

Apple's stock took a hit, dropping 10% after CEO Tim Cook warned about a "100-year flood" in memory prices, which he attributed to the global AI infrastructure build-out. Despite this, the company reported impressive revenue of $109.4 billion, marking a 16% increase from the previous year, with iPhone revenue alone growing 22% year over year to reach a record in the June quarter. Looking ahead, Apple plans to unveil its next-generation iPhones at its annual showcase in September, while also expecting fourth quarter revenue growth of 9% to 11%, falling short of analyst estimates.