Apple Explores AI Server Development with Nvidia
Apple (NASDAQ:AAPL) is in discussions with Nvidia (NASDAQ:NVDA) to use NVLink technology alongside its custom silicon for a new AI server initiative, marking Apple’s return to the enterprise server market since 2011. According to a report by The Information, the collaboration aims to create AI servers equipped with Apple’s M8 Ultra chips, with a product launch anticipated by 2029.
This proposal indicates a significant shift in Apple’s strategy under new CEO John Ternus, who previously endorsed the initiative. If realized, this venture could expand Apple’s focus on artificial intelligence beyond consumer devices, paralleling investments by competitors like Microsoft and Amazon in AI infrastructure. Apple’s last reported fiscal third quarter revenue was $109.41 billion, with a net income of $29.78 billion and a free cash flow of $136.7 billion over the last 12 months.
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