Categories: BUSINESSFINANCE

Apple Plans Texas AI Server Factory, 20,000 Research Jobs

Apple (AAPL) announced plans to build a 250,000-square-foot factory in Texas by 2026 to manufacture artificial intelligence (AI) servers. Additionally, the company will add approximately 20,000 research and development jobs across the United States as part of its broader investment strategy.

$500 Billion U.S. Investment Plan

Apple stated it will invest $500 billion in the U.S. over the next four years. This amount includes spending on domestic suppliers, semiconductor manufacturing, and even content production for Apple TV+. However, Apple did not specify how much of this investment is new spending versus previously planned expenditures with existing U.S. suppliers such as Corning, which produces iPhone glass in Kentucky.

This move follows reports that Apple CEO Tim Cook recently met with former President Donald Trump. With Trump’s recent 10% tariffs on China-assembled products, Apple may be looking to expand its U.S. manufacturing presence to mitigate potential trade risks.

AI Server Facility and Semiconductor Expansion

Apple will partner with Hon Hai Precision Industry’s Foxconn to build the Texas facility in Houston. This site will assemble AI servers used in Apple’s data centers for its Apple Intelligence features, which help with tasks like drafting emails. Currently, these servers are manufactured outside the U.S.

In addition, Apple is increasing its Advanced Manufacturing Fund from $5 billion to $10 billion. Part of this expansion includes a “multibillion-dollar commitment” to producing advanced silicon at Taiwan Semiconductor Manufacturing Co.’s (TSMC) Arizona factory. Apple has not disclosed details of the agreement but has previously used this fund to support infrastructure development for key suppliers.

Manufacturing Academy in Michigan

Apple also plans to establish a manufacturing academy in Michigan. The academy will offer free training programs for small and mid-sized manufacturers, covering project management and manufacturing process optimization. Apple engineers will collaborate with local university faculty to develop the curriculum.

These efforts signal Apple’s commitment to strengthening its U.S. manufacturing footprint while expanding its AI and cloud computing capabilities.

Amy Thomas

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Amy Thomas

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