Amid recent reports of Apple struggling in its AI efforts, particularly with Siri, a new analyst report indicates the company is close to laying down a full $1 billion in new purchases of NVIDIA’s AI servers.
Apple reportedly ordering hundreds of pricey NVIDIA AI servers
Patrick Seitz writes at Investor’s Business Daily:
Loop Capital analyst Ananda Baruah late Monday said Apple is in the process of placing orders for about $1 billion in Nvidia GB300 NVL72 systems. That equates to about 250 servers at $3.7 million to $4 million each, he said in a client note.
Apple is working with server builders Dell Technologies and Super Micro Computer on its large server cluster to support generative AI applications, Baruah said.
“AAPL is officially in the large server cluster Gen AI game … and SMCI & DELL are the key server partners,” he said. “While we are still gathering fuller context, this appears to have the potential to be a Gen AI LLM (large language model) cluster.”
There seems to be a lot of speculation in the report regarding the intended uses of the new servers, but this kind of investment in NVIDIA’s GB300 NVL72s does point in a clear direction.
Reports have indicated in the past that Apple is developing its own chip intended for server use.
However, it seems progress on that front is either moving slower than expected, or else Apple has decided it needs to supplement with NVIDIA’s servers.
In any case, this is further evidence of Apple’s efforts to be well equipped for years of AI investment to come.
What do you make of Apple potentially investing so much in NVIDIA AI servers? Let us know in the comments.
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