Putting the memory into the SoC seems to be a lot of how they're getting this amazing performance: the memory bus is now twice as wide as anything else.
But yes, it means that Apple is going to have to either really start jamming more and more into there, or develop a two-tiered approach to memory where slower "external" RAM can supplement the faster "internal" RAM.
But yes, it means that Apple is going to have to either really start jamming more and more into there, or develop a two-tiered approach to memory where slower "external" RAM can supplement the faster "internal" RAM.