Apple will spend $500 billion on investments in the US – including a huge factory in Texas that will build systems for AI.
The announcement came amid reports that Donald Trump and Apple’s chief executive Tim Cook had met last week. Apple could be hit hard by tariffs on imports from China, where most of its devices are made – though in the last Trump administration, it secured waivers that reduced their effect on the iPhone maker.
As well as the Texas factory, Apple said it would add about 20,000 research and development jobs across the US.
The $500 billion in expected spending includes everything from purchases from US suppliers to U.S. filming of television shows and movies for its AppleTV+ service. The company declined to say how much of the figure it was already planning to spend with its U.S. supply base, which includes firms such as Corning that makes glass for iPhones in Kentucky.
Apple made a similar announcement about its U.S. spending plans in 2018, during the first Trump administration, when it said its new and ongoing investments would contribute $350 billion to the U.S. economy over five years.
Shares were down marginally in pre-market trading.
Trump, in a Truth Social post, thanked Apple and Cook, saying the move reflected the company's faith in his administration.
Most of Apple's consumer products are assembled outside the U.S., though many of Apple components are still made there, including chips from Broadcom, SkyWorks Solutions and Qorovo.
Apple said it last month started mass producing chips of its own design at an Arizona factory owned Taiwan Semiconductor Manufacturing Co.
Bringing TSMC to Arizona and helping introduce legislation that later became the CHIPS Act to bolster U.S. semiconductor production were two of Trump's biggest industrial policy moves during his first term.
Apple said on Monday it will work with Foxconn, formally known as Hon Hai Precision Industry, to build a 250,000-square-foot facility in Houston, where it will assemble servers that go into data centers to power Apple Intelligence, its suite of AI features that help draft emails and perform other tasks. Those servers are currently made outside of the U.S., Apple said.
Apple said it plans to increase its Advanced Manufacturing Fund from $5 billion to $10 billion, with part of the expansion being a "multibillion-dollar commitment from Apple to produce advanced silicon" at TSMC's Arizona factory.
Apple did not disclose details of its deal with TSMC, but it has in the past used the fund to help partners build out the infrastructure needed to deliver products or services for Apple.
Apple will also open a manufacturing academy in Michigan where its engineers, along with local university staff, will offer free courses for small and mid-sized manufacturing firms in areas such as project management and manufacturing process optimization.
Additional reporting by agencies
