Part of that money will help Broadcom build its facilities in Colorado.
Apple announced that it signed a $30 billion deal with Broadcom to buy wireless chips made in the United States. In a statement, the iPhone maker said the deal will allow Broadcom to design and manufacture custom chips “for a wide range of Apple products.” Of that amount, $1.5 billion will go toward upgrading a Broadcom facility in Fort Collins, Colorado, that will be used to produce “advanced radio frequency components.”
The companies are not specific about what Broadcom will produce, beyond claiming that the deal will lead to the production of “15 billion American-made chips.” The statement mentions “advanced wireless connectivity technologies,” which could mean several things. It is worth mentioning that Broadcom does not have its own manufacturing resources, but instead outsources production to various third-party suppliers, including TSMC.
But Broadcom and Apple have been working together for a long time and Broadcom has provided various RF, Wi-Fi and Bluetooth silicon for its devices. The version only distinguishes one particular product; FBAR Filters, a proprietary bulk acoustic wave filtering technology used by smartphones to filter specific wireless bands.
Last year, Apple faced the threat of tariffs unless it did more to use and invest in the domestic technology supply chain. To appease the dear leader, the company has committed to investing up to $600 billion over the four years of his second mandate. The $30 billion deal with Broadcom is the largest commitment to date, and it’s likely we’ll see many more blockbuster deals spaced out over the next three years.
