Apple reveals a $500 billion commitment to the US as tariff risks loom over iPhone production

Apple has unveiled plans to channel over $500 billion into the United States over the next four years, which includes the hiring of 20,000 new employees and the establishment of a brand new server manufacturing facility in Texas.

This announcement closely follows a recent conversation between President Donald Trump and Apple CEO Tim Cook, in which Cook reportedly indicated a shift in manufacturing operations from Mexico back to the U.S. Trump highlighted that this decision aims to sidestep potential tariffs. This commitment, along with the recent financial pledge, comes amid ongoing discussions regarding tariffs that could increase the costs of iPhones produced in China.

In a blog post, Cook expressed optimism about the future of American innovation, 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.”

Among the various initiatives outlined by Apple, the planned factory in Houston stands out, as it is set to commence operations in 2026. This facility will be responsible for the production of servers that will support Apple Intelligence, the company’s suite of artificial intelligence functionalities. Apple estimates that this new factory will generate “thousands of jobs.”

This recent announcement mirrors a commitment made by Apple in early 2018, during Trump’s first term, where the company pledged to create 20,000 jobs as part of a $350 billion investment in the U.S. At that time, Trump was contemplating tariffs that could have impacted iPhone pricing, although these devices were ultimately not targeted during his first term in office.