Apple collaborating on AI chips for data centers

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Apple's stock at an all-time high after Morgan Stanley names it
Apple's stock at an all-time high after Morgan Stanley names it "top pick" for AI initiatives

Apple is developing its own processor to run artificial intelligence software in data centers, sources state.

Apple (AAPL.O) is building its own processor to run artificial intelligence software in data centers, according to people familiar with the topic.

Apple, which has lagged behind its competitors in AI, has avoided inquiries about its aspirations for the technology.

“We continue to feel very bullish about our opportunity in generative AI, and we’re making significant investments,” CEO Tim Cook stated.

The project, internally known as Project ACDC (Apple Chips in Data Center), aims to use Apple’s chip design skills to improve server architecture, according to the article.

Project ACDC has been in the works for some years, but it is unclear when or if it will be presented, according to the publication.

According to the source, Apple’s server chip component would most likely focus on running AI models, commonly known as inference, rather than training AI models.

The company has been closely cooperating with Taiwan Semiconductor Manufacturing Co. (2330.TW), which has opened a new tab to design and begin production of such chips, according to a source, though it is unclear whether both companies have achieved a final outcome.

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