Apple is going local.
CEO Tim Cook has announced that the Cupertino-based company will soon begin purchasing chips from a production plant in Arizona in an effort to source chips for Apple products locally. He revealed the news during a meeting with local engineering and retail employees in Germany.
About 60 percent of the world’s processors are produced in Asia, specifically in Taiwan. Shifting a part of the production process to the US would lessen Apple’s reliance on another country, Mark Gurman of Bloomberg noted.
“Regardless of what you may feel and think, 60 percent coming out of anywhere is probably not a strategic position," said Cook.
While it has yet to be confirmed, it is likely that the production plant in question refers to Taiwan Semiconductor Manufacturing Co.'s (TSMC) Arizona plant, Apple’s exclusive partner in producing chips.
The plant, which is currently under construction, is expected to start working in 2024 with a target of producing 20,000 chips per month.