Apple and Broadcom Finalize $30 Billion Chip Deal, Expanding U.S. Manufacturing

Apple and Broadcom have announced a multi-year agreement valued at over $30 billion for chip components, which includes a significant expansion of a Broadcom manufacturing facility in Colorado. As part of the deal, Broadcom will invest $1.5 billion to expand its factory in Fort Collins.

The agreement, which extends through 2031, focuses on the supply of radiofrequency components, specifically FBAR filters. These chips, which Apple and Broadcom have been co-developing since at least 2023, are critical for wireless communication in Apple's devices. The partnership is expected to produce at least 15 billion chips.

In a statement, Apple framed the deal as part of its commitment to increase its sourcing of components from within the United States. The company noted its work with the current presidential administration on initiatives to bolster domestic manufacturing.

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"The cutting-edge components built in Fort Collins are essential to delivering the incredible performance and connectivity our customers expect, and we’re proud to deepen our investments in U.S.-based suppliers that share our commitment to excellence and innovation," said Apple CEO Tim Cook. He also expressed gratitude to the president and his administration for supporting such projects.