Apple is ramping up its investment in the United States by $500 billion and hiring 20,000 more people, expanding AI server chip production with TSMC and Foxconn.

The well-known tech giant Apple (Apple) announced that it will invest $500 billion in the United States over the next four years, creating 20,000 job opportunities and establishing an AI server production base in Houston, Texas. This move is seen as one of Apple's responses to the possible reinstatement of import tariffs on Chinese goods by U.S. President Donald Trump (Donald Trump).

Trump threatens to impose additional tariffs, Apple takes the lead in increasing investment

According to Bloomberg, Apple's expansion investment plan comes at a time when President Trump is in office. Trump has been emphasizing in recent press conferences that through tariff policies, he aims to help overseas American businesses move their production bases back to the United States. Apple CEO Tim Cook, after meeting with Trump at the White House recently, promptly announced this new plan, attracting market attention.

After meeting with Cook, Trump posted on his own social platform Truth Social on 2/24, claiming that Apple's decision to increase investment in the United States was because they have confidence in 'what we are doing.' However, Apple did not respond directly to whether this investment plan is related to Trump's policies.

Trump claimed on his own social platform Truth Social that Apple CEO Cook will increase investment in the US by $500 billion. Where will the AI servers be manufactured in the US

Apple said that the $500 billion fund will be used in several key areas:

Houston, Texas: AI server manufacturing base. Within this year, it will work with Hon Hai (Foxconn) to start production of private cloud computing (Private Cloud Compute) servers, which will support Apple's AI system. The manufacturing plant is expected to be expanded by approximately 7,000 pyeong next year.

The U.S. semiconductor industry: continues to collaborate with TSMC. Although the production of AI servers has moved to the United States, the key M-series chips are still manufactured by TSMC (TSMC), and chip production continues to expand in Arizona.

Data center expansion: Existing data centers in Arizona, Oregon, Iowa, Nevada, North Carolina, and other locations will be expanded to support AI services.

Michigan Supplier School: Establishing a manufacturing school in Detroit to assist American suppliers in enhancing their techniques and connecting with the Apple supply chain.

Apple adds another 20,000 employees, focusing on AI, chips, and R&D talent

In addition to expanding its factories, Apple will also add 20,000 employees, mainly focusing on AI, chip development, and (R&D) research, continuing its recent technological layout. Compared with the $430 billion investment promised by Apple in 2021, this wave of expansion is an additional $39 billion, and the manpower demand has also slightly increased from the initial commitment of 19,000 employees per year.

Trump pressured American companies to return, Apple responded again with countermeasures

In fact, this is not the first time that Apple has taken similar measures under the pressure of Trump's tariff policy. During Trump's first term, he also threatened to impose heavy taxes on imported products from China. At that time, Apple announced the production of Mac Pro in Texas, successfully obtaining a tariff exemption.

This time, Apple's strategy seems to be the same as before, investing in the U.S. market to release goodwill to the government, in order to reduce the cost pressure caused by future trade wars and ensure the profit margin of major products such as iPhone and iPad is not affected.

Although the production of AI servers has been moved back to the United States this time, Apple's core products such as iPhone, Mac, and iPad still mainly rely on manufacturing in China. It is believed that whether Apple will further move its production line back to the United States in the future remains to be seen.

Cook is confident in American innovation, and the US-China situation still affects supply chain development

Cook emphasizes: "We are full of confidence in the future of American innovation. This commitment of $500 billion is a strong support for the development of the United States. We will continue to cooperate with local businesses to jointly create a new chapter in the history of technology."

Apple's investment in this wave is both a goodwill gesture to the US government and a strategic layout to cope with Trump's tariff pressure. However, in the context of the US-China trade war, whether Apple can successfully balance US investment and the Chinese supply chain remains to be seen depending on how the future political and economic situation evolves.

(Driven by the AI craze, Alibaba's stock price has surged by nearly 50%, and Apple is joining forces to enter the Chinese market?)

This article Apple increases investment in the United States by 500 billion and hires 20,000 people, expanding AI server chip production with TSMC and Foxconn first appeared on Chain News ABMedia.