Apple has announced a massive $500 billion investment in the United States over the next four years, including a new AI server factory in Texas and the creation of 20,000 jobs, primarily in research and development. The move signals Apple’s growing focus on American manufacturing while aligning with US President Donald Trump’s push for corporate investment within the country.
Major Investment Plans
The $500 billion commitment includes a broad range of expenditures, from purchasing components from US suppliers to funding Apple TV+ productions. A significant portion of this investment will go toward manufacturing and artificial intelligence (AI) infrastructure.
Read More: Apple takes on Android with iPhone 16e AI-powered budget model …
A major highlight of Apple’s plan is the construction of a 250,000-square-foot facility in Houston, Texas, where the company will assemble AI servers for its new “Apple Intelligence” features. These servers were previously manufactured outside the US, and the shift is expected to create “thousands” of jobs. Apple will be working with Foxconn (Hon Hai Precision Industry) to build and operate the facility, set to open in 2026.
Apple is also expanding its data center capacity in North Carolina, Iowa, Oregon, Arizona, and Nevada and doubling the size of its Advanced Manufacturing Fund from $5 billion to $10 billion. This fund supports US-based manufacturing, and part of the increase includes a multi-billion-dollar investment in semiconductor production at Taiwan Semiconductor Manufacturing Co. (TSMC)’s Arizona factory.
Political Context and Trump’s Influence
The announcement follows reports that Apple CEO Tim Cook recently met with President Donald Trump, who has long pushed for companies to expand domestic manufacturing. Trump took credit for Apple’s move, stating on his Truth Social account that the investment reflected Apple’s “faith” in his administration.
Apple’s decision also comes as Trump has introduced new 10% tariffs on Chinese imports, which could impact Apple’s extensive supply chain in China. In his first administration, Trump imposed trade restrictions that affected Apple, though the company was able to secure some waivers. Analysts believe the latest investment is at least partially aimed at avoiding further tariff complications.
“This pledge represents a political gesture towards the Trump administration,” said Gil Luria, an analyst at DA Davidson. He noted that Apple already spends more than $150 billion per year in the US, including costs of goods and capital expenditures. Given this existing spending level, Apple is expected to reach the $500 billion target within three to four years without significantly increasing its investment pace.
Apple’s Long-Term US Expansion Strategy
Apple has made similar announcements in the past. In 2018, the company pledged to contribute $350 billion to the US economy over five years, also under Trump’s presidency. In 2021, Apple committed $430 billion over five years, including 20,000 new jobs. This latest $500 billion pledge appears to be an extension of those commitments rather than a dramatic shift in strategy.
Investments in AI and Semiconductor Manufacturing
Beyond manufacturing, Apple’s focus on artificial intelligence and chip production is central to its investment strategy. The Houston facility will play a crucial role in producing AI servers for Apple Intelligence, a suite of features that help users with tasks such as drafting emails.
Additionally, Apple is making a multi-billion-dollar commitment to produce advanced silicon chips at TSMC’s Arizona facility. Apple has already started mass-producing its own chips at the plant, marking a significant milestone for US semiconductor manufacturing. The initiative aligns with the CHIPS Act, a legislative effort to boost domestic semiconductor production—one of Trump’s key industrial policies from his first term.
Read More: Apple set to launch iPhone SE 4 with major upgrades
Apple is also launching a Manufacturing Academy in Michigan, where its engineers will collaborate with university staff to offer free training courses for small and mid-sized manufacturers. The academy will focus on project management, manufacturing process optimization, and innovation, aiming to strengthen the US manufacturing workforce.