Apple enters into $30 billion chip partnership with Broadcom

Apple is deepening its commitment to American manufacturing with a $30 billion partnership with Broadcom, aiming to produce custom chips and advanced wireless technologies within the United States. This multiyear agreement is set to create 15 billion US-made chips, bolstering domestic production and supporting hundreds of American jobs.

Tim Cook, Apple's CEO, highlighted the significance of the partnership, stating it "further accelerates our commitment to American manufacturing and innovation." He also acknowledged the support from President Donald Trump and the US administration for these efforts. This deal represents Apple's largest commitment under its American Manufacturing Program (AMP), launched last year to boost US manufacturing.

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Apple and Broadcom have a long history together, and this new phase of our partnership further accelerates our commitment to American manufacturing and innovation.

The collaboration will also lead to a substantial expansion and modernization of Broadcom's manufacturing facilities in Fort Collins, Colorado. The chipmaker plans a $1.5 billion capital expenditure investment to produce advanced radio frequency components, including FBAR filters, and cutting-edge wireless connectivity technologies at the Colorado site. Broadcom President and CEO Hock Tan expressed enthusiasm for expanding their manufacturing footprint in Fort Collins, emphasizing the creation of groundbreaking technology that connects people globally.

Broadcom announced in an SEC filing that the agreement extends through 2031. The company will develop and supply custom ASIC silicon products for multiple generations of Apple devices. ASICs, known for their speed and efficiency, are crucial for performing specific tasks, including AI computations.

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With Apple's newest commitment, we're pleased to expand our manufacturing footprint in Fort Collins, where we create groundbreaking technology that connects people around the world.