Tim Cook, chief executive officer of Apple Inc., greets customers during the first day of in-store sales of Apple’s latest products at Apple’s Fifth Avenue store in New York, US, on Friday, Sept. 20, 2024.
Victor J. Blue | Bloomberg | Getty Images
Apple plans to open a new factory for artificial intelligence servers in Texas as part of a $500 billion investment in the U.S., the company said Monday.
The U.S. technology giant said it would work with partners to launch a 250,000-square-foot server manufacturing facility in Houston to produce servers for Apple Intelligence, its AI personal assistant for iPhone, iPad and Mac computers.
The new factory, which is slated to begin operations in 2026, will form part of a major investment plan Apple is committing to over the next four years. In addition to the new Texas facility, Apple said it also plans to hire around 20,000 new employees across the U.S.
Most of the new hires will be focused on research and development, or R&D, silicon engineering, software development, and AI and machine learning, Apple said.
“We are bullish on the future of American innovation, and we’re proud to build on our long-standing U.S. investments with this $500 billion commitment to our country’s future,” Apple CEO Tim Cook said in a statement Monday.
The move comes after Apple’s chief executive met with President Donald Trump last week.
The iPhone maker faces pressure from the Trump administration over where it chooses to manufacture its products. Apple assembles most of its products in China.
Earlier this month, Trump signed an order imposing long-threatened 10% tariffs on Chinese goods on top of existing tariffs of up to 25% levied during his first presidency.
Apple said its $500 billion investment plan will include work with suppliers across the U.S. and production of content for its Apple TV+ media streaming service in 20 states, as well as new hires and research and development spending.
Apple said it “remains one of the largest U.S. taxpayers, having paid more than $75 billion in U.S. taxes over the past five years, including $19 billion in 2024 alone.”
The tech giant also said it would double its U.S. Advanced Manufacturing Fund to $10 billion from $5 billion currently, create a new manufacturing academy in Michigan, and grow its R&D investments in the U.S. to support cutting-edge fields such as silicon engineering.