Apple announced a multiyear partnership with Broadcom expected to exceed $30 billion to design and produce custom silicon components and wireless technologies through 2031. Broadcom will invest $1.5 billion to expand and modernize its manufacturing facility in Fort Collins, Colorado, where it will produce advanced radio frequency components including FBAR filters as well as wireless connectivity technologies. The partnership is expected to result in the creation of more than 15 billion U.S.-manufactured chips and support hundreds of American jobs.
Apple already supports more than 1,100 jobs at Broadcom’s Fort Collins facility, which will continue to invest in automation and workforce development under the expanded agreement. This deal significantly expands on a 2023 partnership between the companies covering 5G radio frequency components manufactured domestically. Broadcom’s chips cover custom radio frequency components, Wi-Fi and Bluetooth connectivity, and other networking semiconductors found throughout Apple’s product lineup. The new agreement introduces ASIC silicon (application-specific integrated circuits designed for a particular purpose) that will appear in multiple generations of Apple products.
Apple has relied on overseas suppliers for wireless connectivity chips for years; that dependency became acute during pandemic-related supply disruptions and amid growing tensions over semiconductor manufacturing concentrated in Taiwan and South Korea. By locking in domestic production of radio frequency components and custom ASICs through 2031, Apple removes at least one major chokepoint from its supply chain during a period of geopolitical uncertainty.
The impact for users is indirect but real. Broadcom’s RF components and ASICs are invisible parts of every iPhone, Mac, iPad, and Apple Watch, they handle the wireless radios that connect to cellular networks, Wi-Fi, and Bluetooth. A secured, reliable domestic supply line for these components means lower risk of the product delays that plagued Apple in 2021 and 2022.
The partnership also signals Apple’s strategy to localize AI-related chip manufacturing beyond consumer devices and into the infrastructure components that power wireless connectivity. ASIC chips are becoming vital for artificial intelligence processing, both on-device and in networked systems; Apple is embedding these capabilities deeper into its connectivity systems across product lines. This shift requires manufacturing commitments locked in through multiple product cycles, which is exactly what the 2031 agreement provides.
Broadcom’s involvement in custom ASIC production means Apple tailors connectivity and AI acceleration chips to its exact specifications without relying on third-party designs or offshore manufacturing. That level of control has become central to Apple’s competitive advantage, particularly as it accelerates its on-device AI initiatives across iOS macOS, and watchOS.
The announcement aligns with Apple’s American Manufacturing Program, which the company committed to last year with a $600 billion investment pledge across four years. The Broadcom deal accounts for 5 percent of that total commitment, showing how critical wireless and connectivity components are to Apple’s strategy. The partnership’s lock-in through 2031 also reflects Apple’s multi-year product roadmap, which requires stable supply for new device generations in planning stages now. Broadcom shares rose nearly 4 percent in premarket trading on the announcement, reflecting investor confidence in the long-term demand signal the deal sends.
