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Apple to build AI server factory in Texas, adding 20,000 US R&D jobs 

In this post:

  • Apple will double its Advanced Manufacturing Fund to drive technological advancements in Texas.
  • Over the next four years, Apple will invest $500 billion in US supplier partnerships.
  • Apple is expanding research and development efforts across the United States.

Apple has made its biggest-ever investment pledge, promising to pour more than $500 billion into the US economy over the next four years. 

This effort advances Apple’s commitment to American ingenuity and high-skilled advanced manufacturing. The investment will support advances in artificial intelligence, silicon engineering, and workforce development, improving outcomes for students and workers throughout the country.

Apple-US-investment
Infographics of Apple’s growing investment in the US

Tim Cook, Apple’s CEO, noted plans, including doubling Apple’s Advanced Manufacturing Fund and enhancing technical capabilities in Texas. Cook also highlighted the company’s commitment to working with people and corporations nationwide to contribute to a new chapter of American innovation.

Apple expands US manufacturing, workforce, and AI innovation

As part of its US investment initiative, Apple and its partners will build a new advanced manufacturing facility in Houston to manufacture servers supporting Apple Intelligence. This personal intelligence system helps users with writing, self-expression, and productivity. 

Apple has also promised to double its US Advanced Manufacturing Fund, open an academy in Michigan to help train the next generation of manufacturers, and expand its research and development investments to foster innovation in areas including silicon engineering.

Apple plans to recruit about 20,000 people in the next four years, with most positions focused on research and development, silicon engineering, software development, and artificial intelligence, including machine learning. 

To further cement this new commitment, the company will invest heavily in its US R&D hubs, expanding teams focusing on custom silicon, hardware engineering, software development, and AI-driven technologies.

Apple’e server production in Houston will open in 2026

As part of Apple’s new investment effort, the company will work with manufacturing partners to initiate server production in Houston later this year. The 250,000-square-foot plant, which is scheduled to open in 2026, is expected to provide thousands of new jobs.

Once manufactured out of the US, servers assembled in Houston are critical to the operation of Apple Intelligence. They are the building blocks of Private Cloud computing, combining powerful AI processing with the highest security architecture ever used at scale for AI cloud computing. Created after years of work by Apple engineers using advanced research and innovation, these servers deliver the best-in-class security and performance of Apple silicon in the data center.

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Apple Watch uses servers designed by Apple teams to maximize efficiency and minimize energy use, which is important since Apple’s data centers already run on 100% renewable energy. Apple also plans to increase data center capacity in North Carolina, Iowa, Oregon, Arizona, and Nevada as it introduces Apple Intelligence to customers throughout the US.

The tech firm will double its US Advanced Manufacturing Fund, created in 2017 to aid innovation and high-skilled manufacturing jobs nationwide as part of this latest investment. This new commitment expands from $5 to $10 billion to promote manufacturing capabilities and skills development nationwide.

Apple is expected to invest billions in the fund to make more advanced silicon at TSMC Fab 21 in Arizona. Apple is also the facility’s largest customer and supports more than 2,000 chip production workers in the US.

The American company creates silicon to offer best-in-class features, performance, and power efficiency across all its products. Apple’s suppliers manufacture silicon in 24 factories in 12 states, including Arizona, Colorado, Oregon, and Utah. Through these investments, the firm is enabling thousands of high-paying jobs in US companies, including Broadcom, Texas Instruments, Skyworks, and Qorvo.

Apple-US-investment-semiconductor
Apple suppliers already manufacture silicon in 24 factories across 12 states

Apple’s US Advanced Manufacturing Fund has so far backed projects in 13 states, including Kentucky, Pennsylvania, Texas, and Indiana. These efforts contribute to expanding local businesses, workforce training, innovative manufacturing, and new materials used in Apple products.

Apple is investing more in Research and Development across the US

Apple is gradually increasing its research and development in the United States. Over the last five years, the company has nearly doubled its investment in advanced R&D in the country, and it aims to keep up this growth trajectory going forward.

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The iPhone 16e is the newest addition to the iPhone family, promising ultra-fast and smooth performance out of the gate. Thanks to the industry-leading efficiency of the new A18 chip and Apple C1, Apple’s first cellular modem, the iPhone 16e has pioneering battery life. 

The Apple C1 is the most power-efficient modem ever included in an iPhone. It represents a major milestone for Apple silicon, resulting from thousands of engineers’ years of research and dedication. The chipset is the foundation for a long-term Apple strategy to optimize and improve modem tech in its entire product range.

For instance, it unveils the Apple Manufacturing Academy in Detroit to help businesses implement advanced manufacturing technologies. Apple engineers will work with professors from top universities, including Michigan State, to incorporate AI and smart manufacturing practices into small and medium-sized businesses. 

The academy will also launch free in-person and virtual courses, including a curriculum on relevant skills, project management, and manufacturing process optimization. These courses accomplish everything from boosting productivity and efficiency to uplifting quality across companies’ supply chains.

Apple has been devoted to investing in education and helping American workers and students develop the skills they need to succeed in the 21st century.

That includes — charity pays acquisitions — both ongoing and ramping grant programs for organizations like 4-H, and Boys & Girls Clubs of America, which work with Apple in communities across the country to create free programming that enables younger people to learn essential skills like coding.

As part of this mission, Apple also runs its New Silicon Initiative, which aims to provide students with the necessary soft skills and knowledge to pursue careers in hardware engineering, silicon chip design, and even semiconductor technology. The program grew to Georgia Tech last year and now serves students at eight schools across the country. Apple is expanding the initiative, announcing this year a new partnership with UCLA’s Center for Education of Microchip Designers (CEMiD).

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