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Apple to spend over $30bn with Broadcom to produce 15 billion US-made chips: Here's what Tim Cook said
Apple will spend over $30 billion with Broadcom to produce 15 billion U.S.-made chips, boost American manufacturing, create jobs and expand its supply chain.
Apple has announced a new multi-year partnership with Broadcom to design and manufacture custom silicon components and advanced wireless technologies in the United States, according to Apple’s official statement. Under this new agreement, Apple said it will spend more than $30 billion as part of the partnership.
Apple said the investment will help produce more than 15 billion chips made in the U.S. over the coming years. The company said this production will also support hundreds of American jobs. Apple said the deal is part of its effort to build a complete U.S.-based chip supply chain, from designing chips to manufacturing them in America.
Apple and Broadcom partnership
Apple said it has been working with the U.S. administration and American businesses to strengthen chip manufacturing in the country. Broadcom is already part of Apple's American Manufacturing Program (AMP), which Apple launched last year to boost manufacturing in the United States.
This new agreement, as per Apple, is the largest investment commitment it has made under its American Manufacturing Program so far. As part of the deal, Broadcom will invest $1.5 billion to expand and modernize its manufacturing facility in Fort Collins, Colorado. Apple further stated Broadcom's Colorado facility will manufacture advanced radio frequency (RF) components, including FBAR filters, which help improve wireless performance in Apple devices.
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Tim Cook on U.S. chip investment
The Fort Collins plant will also produce advanced wireless connectivity technologies used in many Apple products. Apple CEO Tim Cook said Apple and Broadcom have worked together for many years and this new partnership strengthens their commitment to American manufacturing and innovation. Tim Cook said the components made in Colorado are important for delivering the high performance and wireless connectivity that Apple customers expect. Cook also said Apple is proud to invest more in U.S.-based suppliers that focus on innovation and high-quality manufacturing.
Cook thanked President Donald Trump and his administration for supporting projects like this investment. A Trump administration official told Fox News Digital that the announcement is another major success for America's economy and reflects the administration's economic agenda. The official said Apple has made investing in the U.S. a priority and expressed hope that more companies will make similar investments.
Broadcom expands U.S. manufacturing
Broadcom President and CEO Hock Tan said the company is proud to continue its long partnership with Apple. Hock Tan said Broadcom shares Apple's commitment to American innovation and is happy to expand its manufacturing operations in Fort Collins.
Apple had earlier announced a $600 billion investment plan covering four years during President Donald Trump's second administration. The broader investment plan also includes manufacturing AI servers at a facility in Houston, Texas. Apple had earlier told Fox News Digital that it is working with local contractors to build the Houston facility. Apple also said it is working closely with Houston City College to recruit and hire local workers for that project.
According to Fox News, a source familiar with discussions said President Donald Trump personally encouraged Tim Cook to make a bigger investment in American jobs and manufacturing. The same source told Fox News that Cook responded by saying Apple would "step up," which eventually led to the company's $600 billion U.S. investment commitment.
Overall, Apple says the new Broadcom partnership is aimed at increasing U.S. chip production, strengthening domestic manufacturing, creating jobs, and expanding advanced technology development in America.
