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Apple reveals $500 billion US investment plan in response to looming tariff challenges impacting iPhone production

Apple has revealed plans to invest over $500 billion in the United States over the next four years, which will include the hiring of 20,000 new employees and the construction of a new server production facility in Texas.

This announcement follows a recent conversation where President Donald Trump stated that Apple’s CEO, Tim Cook, had assured him that the company’s manufacturing operations would return from Mexico to the U.S. This shift seems to be a strategy to evade tariffs, a potential financial burden Trump has been hinting at. The combination of Cook’s promise and this significant investment underscores the ongoing concern over possible tariffs that could affect the pricing of iPhones assembled in China.

Tim Cook expressed the company’s optimism about American innovation in a blog post, stating, “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.”

In its investment announcement, Apple detailed various plans, chief among them being the establishment of a new factory located in Houston, set to begin operations in 2026. This facility will focus on producing servers that will support Apple Intelligence, the company’s suite of artificial intelligence functions. Apple anticipates that this factory will generate “thousands of jobs” for the local economy.

This latest commitment mirrors a previous announcement from early 2018 during Trump’s first term, where Apple also pledged to create 20,000 jobs alongside a $350 billion investment in the U.S. Although there was speculation about tariffs affecting iPhone production at that time as well, Trump’s administration ultimately did not go ahead with imposing them on those devices.

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