Apple $AAPL announced a new multiyear agreement with Broadcom $AVGO on Wednesday valued at more than $30 billion to design and produce custom silicon components and wireless connectivity technologies for Apple products. The deal is expected to result in the production of more than 15 billion U.S.-made chips and will support hundreds of American jobs, Apple said.
The agreement is the largest commitment to date under Apple's American Manufacturing Program, a domestic manufacturing initiative the company launched in 2025. As part of the deal, Broadcom will spend $1.5 billion to expand and modernize its manufacturing facility in Fort Collins, Colorado, where it will produce radio frequency components — including FBAR filters — and wireless connectivity technologies. The deal extends the companies' collaboration through 2031, according to a filing Broadcom submitted to the Securities and Exchange Commission on Monday.
"Apple and Broadcom have a long history together, and this new phase of our partnership further accelerates our commitment to American manufacturing and innovation," Apple CEO Tim Cook said in a statement. Cook also thanked President Donald Trump and his administration for supporting the project.
Broadcom President and CEO Hock Tan said Apple's commitment will help the chipmaker expand its manufacturing presence in Fort Collins.
The agreement is part of Apple's broader pledge to invest $600 billion in the U.S. economy over four years, the company said.
Wednesday's announcement builds on a longstanding supplier relationship between the two companies. The chipmaker has for years provided Apple with radio frequency components for cellular connectivity and semiconductors supporting Wi-Fi, Bluetooth, and related networking functions in iPhones. Apple ranks among Broadcom's largest clients, with Apple accounting for approximately 20% of Broadcom's total annual revenue, according to Reuters.
Even as Apple has brought modem development in-house — its C1 chip debuted in the iPhone 16E — the company has not moved away from Broadcom for wireless and radio frequency components. Financial details absent from Broadcom's earlier disclosure were filled in by Wednesday's announcement. Apple noted that Corning, GlobalFoundries, and Texas Instruments $TXN are also among the companies that have joined its American Manufacturing Program.