Apple announces $500 billion US investment

The National

24-02-2025

Apple on Monday announced plans to invest at least $500 billion in the US over the next four years to bolster highly skilled manufacturing, artificial intelligence and the development of students' skills throughout the country. The investment comes amid increased domestic economic uncertainty, with concerns over inflation and worries from business leaders about the possible impact of tariffs promised by the Trump administration. Apple said it plans to hire about 20,000 new people. President Donald Trump thanked both the company and its chief executive Tim Cook after the California-based tech giant's announcement. They have 'faith in what we're doing, without which they wouldn't be investing ten cents. Thank you Tim Cook and Apple!' Nowhere in Apple's press release announcing the investment does the company mention the Trump administration. Mr Cook, however, is quoted about his overall optimism regarding the company's plans in the US. 'We are bullish on the future of American innovation and we're proud to build on our long-standing US investments with this $500 billion commitment to our country's future,' he said. 'From doubling our Advanced Manufacturing Fund, to building advanced technology in Texas, we're thrilled to expand our support for American manufacturing.' The company also detailed how AI and manufacturing would be integral to its US investment in the years ahead. 'Apple and partners will open a new advanced manufacturing facility in Houston to produce servers that support Apple Intelligence, the personal intelligence system that helps users write, express themselves and get things done,' the company said. Apple also announced plans to open what it described as an Apple Manufacturing Academy in Detroit, as the city continues its attempt to pivot from a post-industrial automotive-based economy. Mr Cook was last week spotted entering the White House, although details about his visit were minimal. The Apple chief has spent years navigating a geopolitical business balancing act, working with the Trump and Biden administrations, while also attempting to navigate Apple's relationships in China, which have been increasingly at odds with the US. While other US companies have floundered in China, Apple has maintained a prominent presence, with more than 50 shops in the country. Mr Cook, along with tech titans Meta founder Mark Zuckerberg, TikTok chief Shou Zi Chew, Google's chief Sundar Pichai, Amazon founder Jeff Bezos and Tesla co-founder Elon Musk, attended President Trump's inauguration. He also joined the ranks of other technology executives in donating to Mr Trump's inauguration fund. The relationship between Mr Cook and Mr Trump has at times been fraught. In 2016 during his first pursuit of the White House, Mr Trump threatened to enact tariffs on Apple products for manufacturing devices overseas, only to later ask Mr Cook to serve on the administration's American workforce policy advisory board three years later. At one point during his first term, Mr Trump bestowed Mr Cook with the nickname 'Tim Apple'. Ryan Young, a senior economist for the Conservative Enterprise Institute, reflected on Apple's announcement, and President Trump's reaction to it. "Letting politicians take credit for things is a proven political strategy. Here Apple is letting Trump take credit for things Apple was already going to do anyway," he said. "Apple did something similar in 2020, when the let Trump take credit for an Apple factory that opened in 2013." As for Apple's latest announcement, the company remained apolitical, despite overtly political posts from Mr Trump concerning the company. 'As a proud American company, we're thrilled to continue to make significant investments in the US," Mr Cook posted on X. As part of the investment, Apple said various facilities and teams in Michigan, Texas, California, Arizona, Nevada, Iowa, Oregon, North Carolina and Washington state will be expanding as well. According to estimates, Apple employs about 161,000 workers globally and the company says it helps to support up to 2.4 million jobs through its supplier, developer and retail infrastructure throughout the US.