Tech giant Apple (AAPL) revealed on Monday its plan to inject over $500 billion into the U.S. economy over the next four years, encompassing the construction of a novel manufacturing plant, the doubling of its advanced manufacturing fund, and the creation of 20,000 new jobs.
‘We are deeply optimistic about the trajectory of American innovation, and we are proud to reinforce our enduring U.S. investments with this $500 billion commitment to our nation’s future,’ stated Apple CEO Tim Cook in an official release.
“From expanding our Advanced Manufacturing Fund twofold to establishing cutting-edge technology facilities in Texas, we are excited to bolster our support for American manufacturing. And we will continue to collaborate with individuals and enterprises across the country to contribute to a remarkable new chapter in the narrative of American innovation”.
Apple’s announcement follows shortly after President Trump’s assertion that Cook had pledged hundreds of millions in U.S. investment and a shift in the tech giant’s manufacturing from Mexico to the U.S.
“They don’t want to be in the tariffs,” Trump remarked on Friday.
There is a potential risk that Apple could be among the entities adversely affected by renewed trade tensions between the U.S. and China during Trump’s second term.
The Trump administration previously imposed a 10% tariff on Chinese goods, although Evercore ISI analysts have suggested that the potential financial repercussions for Apple would be relatively minor.
Cook is among the prominent American tech leaders who have endeavored to reestablish or redefine their rapport with Trump post-reelection.
Following Monday’s revelation, Trump expressed gratitude to Cook and Apple on Truth Social, attributing the company’s investment to ‘faith in what we are doing.’ Cook has reportedly visited Trump’s Mar-a-Lago estate in Florida, alongside Meta CEO Mark Zuckerberg, Alphabet’s Sundar Pichai, and Amazon founder Jeff Bezos.
After Trump’s election victory in November, Cook conveyed on X that Apple looked ‘forward to engaging with you and your administration to ensure the United States remains a leader fueled by ingenuity, innovation, and creativity.’
The announcement featured plans for Apple and its partners to initiate server production in Houston later this year. A 250,000-square-foot server manufacturing facility in Texas is slated to commence operations in 2026.
Apple specified that these servers will be instrumental in powering Apple Intelligence, its new suite of AI tools.
Apple will also double its U.S. Advanced Manufacturing Fund, established in 2017 to foster high-skilled manufacturing positions. This increase will elevate the fund from $5 billion to $10 billion.
The company disclosed that the fund’s expansion includes a multi-billion-dollar commitment to advanced silicon production at TSMC’s Arizona facility.
Furthermore, the 20,000 new hires projected by Apple over the next four years will primarily focus on R&D, silicon engineering, software development, and AI and machine learning.
The company will inaugurate a new manufacturing academy in Detroit, where its engineers will advise businesses on implementing AI and smart manufacturing techniques.
