Apple announces $500 billion US investment, plans AI server production

Apple Inc. has unveiled a $500 billion investment plan to bolster its presence in the United States, including the creation of 20,000 new jobs and the production of AI servers domestically. The move comes as the tech giant seeks relief from tariffs imposed on Chinese imports by the US government.

Also Read: Apple enters India’s top 5 smartphone brands as premium sales surge in 2024

As part of its expansion, Apple will establish a new AI server manufacturing facility in Houston, open a supplier academy in Michigan, and increase spending with existing US suppliers. This marks the company’s largest domestic investment to date, reinforcing its commitment to boosting local production and innovation.

The announcement follows a meeting between Apple CEO Tim Cook and US President Donald Trump, where discussions focused on tariffs and the company’s efforts to shift more of its supply chain to the US. Apple, which heavily relies on Chinese manufacturing for its iPhones and other products, faces potential additional tariffs, prompting the push for local expansion.

Over the past five years, Apple has already added 20,000 research and development jobs in the US. In 2021, it pledged a $430 billion investment over five years, which has now been significantly increased.

The latest commitment underscores Apple's strategy to strengthen its US operations, reduce dependency on China, and align with government policies favoring domestic manufacturing.