Washington, DC August 6: US President Donald Trump joined hands with Apple Tim Cook’s CEO during a meeting at the Oval Office of the White House on Wednesday 6 August 2025.
Demetrius Freeman | Washington Post | Getty images
President Donald Trump He has made it clear that he wants Apple To create iPhones in America
Apple CEO Tim Cook He is doing that he can do the commander to please the Chief, without creating that ultimate concession.
Cook on Wednesday appeared Apple did not announce to announce a plan to spend about $ 600 billion in the US Apple at the White House with Trump in the White House Made-in-USA iPhone He wants Trump, but Cook faced Apple’s position on American production.
Some of the most valuable parts of Apple, such as its glass and facial recognition sensor, have been created by American companies that Apple has worked for years. The final assembly is only a small, although very important, the iPhone is part of the production.
Cook at the Oval Office on Wednesday said, “The last assembly that you focus on will be somewhere else for a while.”
Trump appeared quite happy for now.
“He makes many components here, and we are talking about it,” said Trump. “The whole thing has been installed in other places, and it is long in terms of cost and all, but I think we can encourage him enough to bring him back one day.”
Experts said Cook’s announcement was designed to remove the apple from Trump’s crosshair in relation to tariff. Trump announced during a public meeting that the administration plans to put a tariff on the chips. Their price doublesBut Apple – which depends on hundreds of different chips for its devices – will be given.
“The CEO realizes that they have to do something, and what they have discovered is that if they give something to the President to roast without destroying their company, the problem could be overcome for a certain time,” Peter Kohan said, Professor of strategy and entrepreneurship at Babson College, who has written cases on Apple.
Gambit acted. Apple Stock rose 5% on Wednesday and 3% on Thursday.
“What Tim Cook displayed in the previous administration was a real lover of trusted water,” said Nancy Tangler, CEO of Laffer Tengler Investments, said, who holds a place in Apple. “I felt that this announcement was symbolically super-mating, as the President is looking for headlines.”
What did Apple announce
A gift given by Apple CEO Tim Cook to US President Donald Trump stands on the table of President Trump, as he announces an investment of $ 100 billion in Apple’s US manufacturing, Washington, DC, US, in the Oval Office in the White House in August 6, 2025.
Jonathan Ernst | Roots
Apple’s announcement was the so -called American manufacturing program, which was designed to encourage other companies to create parts for computers in the US.
Apple committed to purchasing parts and expanding his relationship with American suppliers, giving those companies skills and ability to expand their business. And it lets Apple take some credit to support 450,000 total jobs in its suppliers.
A close eye on the members of the program suggests that Apple is bending over some of its longest -long -lasting partners. All together, Apple said that its American suppliers are on tracks to make 19 billion chips for their products this year. That level of business does not appear overnight.
For example, Apple Said All covered for iPhone and apple watches will be made by glass KoringIn Kentki, and it will spend $ 2.5 billion on that effort. It is a powerful symbol – while the phone can be spoiled simultaneously in China or India, users worldwide will be built in America
But Apple has pointed to Corning as an important American supplier in the past. The company’s glass has been used on the iPhone since its first edition in 2007. While Apple usually does not allow his suppliers to talk about their relationships, former COO Jeff Williams welcomed the Glass of Corning in 2017 when it received “investment” from the Apple Advanced Manufacturing Fund. Apple chased with it $ 250 million Commitment in 2019, and $ 45 Million in 2021,
Analysts suspect that partnership may significantly improve the revenue of Corning. Morgan Stanley analysts wrote on Thursday that the corning “already produces 100% of the covering glass for Apple’s phone and tablet,” stating that the corning’s glass business is called special material, a price of about 2 billion dollars per year.
Apple also highlighted his partnership with a long -time supplier of lasers for apple’s facial recognition hardware, built in Texas. Morgan Stanley traded about $ 100 million per year, and said that Apple has options including Lumentum and Sony.
The iPhone manufacturer said that it expanded a partnership Texas instruments To make chips in Texas and Utah. Texas instruments have long supplied chips for iPhones, such as circuit to control USB interface or power display. Apple said it would be a partner with Samsung, such as another major supplier of parts like the iPhone display, to launch “innovative new technology to create chips” without offering additional details.
Apple announced that it would directly partner with companies in a semiconductor chain, even if they usually sell services or goods to Apple suppliers. Other partnership Applied materialA tooling company, GlobalfoundriesA chip foundry, and globalwafers America, which is supplying Taiwan semiconductor manufacturing company And with Texas Instruments Made-in-USA wafers, the initial point for a batch of chips.
Creates chips for globalfoundries BroadcomWhich supplies wireless chips for iPhones. Both will work with Apple to develop and create 5G components in America
Meanwhile, Apple will buy millions of advanced chips made by TSMC in Arizona, where it will be the largest customer of the factory. Former President joined Biden at Cook Plant In 2022 And is committed to purchasing chips from the factory.
Apple said it would invest in an Erizona and become a customer Makor Facility, which package and test chips, final stages before installation in a computer.
Apple also said that it would expand the existing data centers for artificial intelligence in Northern Carolina, Iowa, Nevada and Oregon. It has highlighted these data centers in the past.
While Apple’s announcement sent partner stock, JPMorgan Chase Analysts warned in a note on Thursday that “new and extended busynesses could not be fully incremental for global revenue and approach.”
Trump had to take a separate.
“Oh, I love that you are doing so,” said the President, after reading Apple’s list of commitments.
‘Cost of trade’
Apple is very rare to worry about when it comes to who will make the company accountable for its promises. The company does not spend us, and most of Apple’s suppliers are Contracted To keep the information secret. Apple does not report how much cost in its new complexes in Austin or Northern Carolina.
Additionally, a headline number of $ 600 billion includes a lot of regular expenses.
Apple Said In February, its commitment of $ 500 billion included data on apple TV+ products in 20 states along with data centers for American suppliers, direct employment, apple intelligence and corporate features.
Apple started publicly announced American spending during Trump’s first administration in 2018, in 2018 About $ 70 billion per yearIn February, company Committed $ 125 billion per year. Wednesday’s announcement brings that figure to $ 150 billion annually.
This is still a fraction of Apple’s total expenditure.
In Apple’s FY 2024, Apple sold $ 210 billion globally at a cost of $ 210 billion, which $ 57.5 billion on operating expenses, and $ 275 billion in global expenditure during this period $ 275 billion in capital expenditure $ 9.45 billion.
Tefler said he did not think that newly declared expenses would be material for the profitability of Apple, especially since it is already related to various companies like Corning.
“They are going to spend money somewhere,” said Tegler.
Wesbash analyst Dan Ewes, who first Predictive Wednesday’s announcements have been told that Arabs would be produced to produce a med-in-USA iPhone and consumers would have to pay $ 3,500. He said that this is “the cost of doing business.”
