Apple has revealed plans to invest $500 billion in R&D and manufacturing in the US over the next four years.
The iPhone-maker’s plans include building a giant factory in Texas that will build artificial intelligence servers and adding around 20,000 R&D jobs across the country.
Many of Apple’s products are currently built in China, but could face potential 10% tariffs, as President Donald Trump increases his aggressive trade policy across the globe.
Apple boss Tim Cook reportedly met with Trump last week and has previously secured waivers from some tariffs during Trump’s first run in the White House, but it is unclear if the tech giant is seeking similar relief ahead of the reintroduction of further tariffs.
The $500 billion plans include upping Apple’s US supply chains, filming shows for Apple TV+ on US soil, and investments in manufacturing, though the company did not disclose a breakdown of the investment.
In addition, Apple is doubling its $5 billion US Advanced Manufacturing Fund to $10 billion. Launched in 2017, the fund is intended to “support world-class innovation and high-skilled manufacturing jobs across America.” In this case, it means Apple making a multibillion-dollar order for chips from a TSMC factory in Arizona.
Apple previously announced a major investment during the first Trump presidency, pledging in 2018 to invest $350 billion into the US economy over the following five years.
“We are bullish on the future of American innovation, and we’re proud to build on our long-standing U.S. investments with this $500 billion commitment to our country’s future,” said Cook in a statement.
“From doubling our Advanced Manufacturing Fund, to building advanced technology in Texas, we’re thrilled to expand our support for American manufacturing. And we’ll keep working with people and companies across this country to help write an extraordinary new chapter in the history of American innovation.”
It comes amid a challenging picture for tech firms, who could see their supply chains upended by Trump’s plans to introduce tariffs on many of the US’s biggest trading partners, including China.
Trump took to his own social media platform, Truth Social, to claim credit for Apple’s investment plans.
“APPLE HAS JUST ANNOUNCED A RECORD 500 BILLION DOLLAR INVESTMENT IN THE UNITED STATES OF AMERICA,” Trump posted to his social media platform. “THE REASON, FAITH IN WHAT WE ARE DOING, WITHOUT WHICH, THEY WOULDN’T BE INVESTING TEN CENTS. THANK YOU TIM COOK AND APPLE!!!”
