Apple has agreed to purchase as much as $30 billion-worth of additional chips and other wireless components from Broadcom over the following few years.
The brand new agreement could lead on to Broadcom making as much as 15 billion more chips within the US, and enable it to modernize its manufacturing facilities in Fort Collins, Colorado, where it’s going to produce radio frequency components including thin-film bulk acoustic resonator (FBAR) filters and advanced wireless connectivity technologies, Apple said.
The deal is an element of Apple’s effort to create an end-to-end supply chain within the US. It has already been exploring options that might wean it off Chinese-made chips. Last 12 months it launched its American Manufacturing Program (AMP) to speed up manufacturing within the US, committing to “invest $600 billion within the US economy over 4 years” in support of local manufacturing and jobs.