New York: Apple has announced a massive $500 billion investment in the U.S. over the next four years, including plans to establish a large-scale artificial intelligence (AI) server manufacturing facility in Texas and create 20,000 research and development (R&D) jobs across the country.
The spending commitment encompasses a range of activities, from sourcing materials from U.S. suppliers to supporting Apple TV+ productions. However, Apple has not disclosed how much of the investment is newly allocated and how much is part of its existing U.S. supply chain, which includes companies like Corning, a Kentucky-based manufacturer of iPhone glass.
Strategic Move Amid Tariff Uncertainty
The announcement follows reports that Apple CEO Tim Cook recently met with President Donald Trump. The tech giant faces potential 10% tariffs on Chinese-assembled products under Trump’s latest trade policies, although it has previously secured tariff exemptions.
“This pledge represents a political gesture towards the Trump administration,” said Gil Luria, an analyst at D.A. Davidson. He estimates that Apple is already spending over $150 billion annually in the U.S., meaning it could meet its commitment within three to four years without significantly increasing expenditures.
Apple made a similar pledge in 2018, during Trump’s first term, when it committed $350 billion to the U.S. economy over five years. Following this new announcement, Apple’s shares saw a 1.2% increase.
Trump acknowledged Apple’s move on Truth Social, thanking the company and Cook, stating that the decision reflected Apple’s confidence in his administration.
Manufacturing and AI Expansion
Although Apple’s consumer products are primarily assembled overseas, many of its key components are manufactured in the U.S. This includes semiconductor chips from Broadcom, Skyworks Solutions, and Qorvo.
Apple recently began mass production of its in-house chip designs at Taiwan Semiconductor Manufacturing Company’s (TSMC) Arizona facility—one of Trump’s key industrial policy achievements during his first term. The push to bring TSMC to Arizona was part of broader efforts that later led to the CHIPS Act, aimed at boosting U.S. semiconductor production.
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In addition to increasing its Advanced Manufacturing Fund from $5 billion to $10 billion, Apple announced a “multibillion-dollar commitment” to producing advanced silicon chips at TSMC’s Arizona factory. While specific details remain undisclosed, Apple has historically used the fund to support infrastructure development for key suppliers.
New AI Server Facility in Texas
Apple also revealed plans to collaborate with Foxconn, formally known as Hon Hai Precision Industry, to establish a 250,000-square-foot AI server assembly facility in Houston. These servers, which power Apple’s AI-driven features, are currently manufactured outside the U.S.
Furthermore, Apple will open a manufacturing academy in Michigan, offering free courses in project management and manufacturing process optimization. The initiative will provide training led by Apple engineers and local university faculty, targeting small and mid-sized U.S. manufacturing firms.
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With this investment, Apple is positioning itself at the forefront of AI and semiconductor manufacturing while aligning its strategy with U.S. policy priorities.
