Apple has confirmed it has entered into a long-term agreement to secure future flash memory supplies.

The company has reached long-term supply agreements with Hynix, Intel, Micron, Samsung Electronics and Toshiba to secure the supply of NAND flash memory until 2010, the company said.

"As part of these agreements, Apple intends to prepay a total of $1.25 billion for flash memory components during the next three months," it added in a statement.

"We want to be able to produce as many of our wildly popular iPods as the market demands," said Apple CEO Steve Jobs.

Apple's news follows weeks of reports implying the company to be discussing memory supplies with partners, chiefly Samsung.

The Cupertino computer company has grabbed a massive chunk of the world's flash memory production. Web-Feet Research valued the world's flash memory market as worth $17.3 billion in 2004, and Apple is investing $1.25 billion for just three months supply.