Trump's tariff threat on semiconductors appears to be accelerating the reuse of high-tech, with Apple pledging to invest heavily in US penalties, consistent with the White House manufacturing goals.
Apple will invest another $100 billion in US manufacturing, bringing total domestic spending to $600 billion.
The latest investment follows Apple's previous commitment in February to invest $500 billion in US infrastructure.
The expanded commitment includes a new American manufacturing program aimed at increasing domestic production of key components used in Apple devices.
“Early this year, we broke the ground to manufacture advanced AI servers at our new Houston factory. Last month, our first test unit slumped down a line of a factory that was proudly built in the US,” Cook said.
Apple said $600 billion will also be directed towards partnerships, supply chain expansion and rare earth mineral harvesting.
Apple's transition to infrastructure is facing increasing pressure to showcase AI progress. Apple Intelligence has been struggling to gain traction since its October 2024 announcement.
In June, Rouming Pang, head of Apple's foundation model, left the company to join Meta's new Superintelligence Labs.
Despite these set-offs, Cook said the company will continue to drive AI ambitions.
“We've also seen significant investments in AI, including expanding data center capacity in North Carolina, Nevada, Iowa, Arizona and Oregon,” Cook said. “So we're going to continue investing here in America.”
The company also relies on domestic sources of other components, including rare earth minerals and advanced magnets. In total, Apple said the US manufacturing program will create 450,000 jobs in all 50 states.
Trump, who has long been pushing for businesses to bring work and production back to the US amid the threat of higher tariffs, praised Apple's announcement, adding that his administration “will make sure they are being treated well.”
“We're going to put a huge tariff on chips and semiconductors,” Trump said. “But the good news for companies like Apple is that if you are being built in the US or you are committed to building it in the US, it's free.”
Apple is on the growth list of the high-tech giants, offering key commitments to AI infrastructure to align with the White House goals. In January, Openai partnered with Oracle and SoftBank to launch a $500 billion Stargate project. In April, Chipmaker Nvidia pledged a similar $500 billion investment to build an AI supercomputer in the US
Reactions to the announcement have mixed together, with some praised the move as a patriotic move to bring it back to America, while others criticised Cook's appearance along with Trump.
“This is big news for our country!! It's time to bring all manufacturing back to America!” said one user on X.
“This is unprecedented,” another wrote. “The American-made maid is back!!”
“Yeah, that's all. I was going to get rid of the apple stuff anyway, but this seals it out,” one user wrote on Bluesky. “I finished with them. There are no more knee benders.”
“I don't know exactly why I use very few Apple products other than some iPods and Apple Music,” writes another. “But after Tim Cook's absolute surrender, I'm really happy about it.”
Apple did not respond to requests for comment by Decryption.
