Apple has just made history by becoming the first company to build a complete end-to-end silicon chip supply chain entirely in the United States. The announcement comes as part of the company's newly expanded American Manufacturing Program, or AMP, which now carries a $600 billion investment over the next four years, including a fresh $100 billion pledge specifically for U.S.-based chip production and supply chain development. This means that every stage of the chip creation, ranging from initial silicon wafers to the final packaged component ready for use in iPhones, Macs, and other Apple products, will take place on American soil.
Apple’s $600 billion American Manufacturing Program will see every stage of its custom chip production, from wafers to final components, take place entirely in the United States
Instead of relying solely on international facilities, Apple will handle every step of the chip production locally in the United States. The supply chain begins with advanced silicon wafers, which will be provided by GlobalWafers America, before moving to TSMC's facility in Arizona, where the iPhone maker would be the first and largest customer. Texas Instruments will also play a major role in expanding chip production in Utah and Texas, while Applied Materials in Austin will be in charge of making advanced semiconductor equipment. The collaboration of different companies will ensure that Apple's custom chips remain within the United States, which is the first for any tech-based company in the region.
The scale of Apple’s new plans is huge, as the company expects to produce more than 19 billion chips in 2025 alone. Moreover, the expansion goes way beyond silicon and chip manufacturing, with Corning slated to produce all iPhone and Apple Watch cover glass from its facility in Harrodsburg, Kentucky. MP Materials will produce rare-earth magnets in Texas and California, which will cater to Apple's internal components such as Taptic Engines.
Additionally, Coherent will create the laser technology that Apple uses in Face ID, and it will be manufactured in Sherman, Texas. If the company's plans stay on track without any hindrances or roadblocks, it will strengthen the company’s U.S. manufacturing presence far beyond chips.
The expansion of AMP will also ensure thousands of jobs, with the company estimating more than 450,000 jobs across all 50 states through its supply chain network and collaborations with different suppliers. The company itself has plans to hire an upward of 20,000 new employees, focusing on research and development in the field as well as AI, software, and engineering. These investments will play a major role in boosting the U.S. economy and also help Apple secure a solid footing in the country, tackling global uncertainties. The company will reduce its dependency on external supply chains and avoid potential trade and tariff complications, aligning itself with the U.S. government.
Do you think Apple’s decision to build its entire chip supply chain in the U.S. will push competitors and tech giants to follow? Let us know in the comments.
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