Apple’s capital expenditures for fiscal 2025 totaled approximately $12.7 billion, significantly lower than its competitors like Microsoft, Alphabet, Meta Platforms, and Amazon, which collectively spent more than $400 billion. In contrast, Amazon alone anticipates around $200 billion in capital spending for the year, representing 16 times Apple’s expenditure. Additionally, Apple announced a $100 billion share repurchase program in April 2026, reinforcing its financial strategy during a time of increased spending concerns in AI infrastructure among its peers.
Apple’s upcoming AI strategy includes a notable overhaul of Siri, powered by Alphabet’s Gemini models, with a reported partnership cost of about $1 billion annually. The new software is set to launch this fall. The company’s research and development spending reached $34.6 billion in fiscal 2025, demonstrating a commitment to innovation while maintaining a strong cash flow, with operating cash flow exceeding $28 billion during its best-ever March quarter.
With over 2.5 billion active devices in its installed base, the adoption of the new Siri will be pivotal for Apple. Investors should closely monitor user feedback post-launch and observe sales momentum in iPhone and services in upcoming quarterly reports, as sustained growth in these areas could validate Apple’s strategic approach amidst a landscape dominated by heavy AI infrastructure spending.
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