Apple's Own AI Chip for Data Centers Now Being Developed

Apple could reportedly join the semiconductor race as the iPhone maker wants to create an artificial intelligence chip designed to run AI tools in data centers.

The sources, which cited unnamed individuals familiar with the topic, said that the project would build on Apple's prior attempts to produce in-house chips, which are used in its iPhones, Macs, and other gadgets.

According to the newspaper, the organization's server project is known as ACDC.

Apple Unveils iPhone 15 In China — BEIJING, CHINA - SEPTEMBER 22: People look at and buy the newly launched iPhone 15 and other Apple products at a flagship store, on September 22, 2023 in Beijing, China. The iPhone 15 was officially launched in mainland China Friday, one of the worlds most valuable companys largest global markets. Photo by Kevin Frayer/Getty Images

Monday night's late trading saw an increase in Apple shares of up to 1.2%. As of the end of the year, they had dropped 5.6%. A request for comment from the Cupertino, California-based corporation was met with no immediate response.

Apple has been trailing its tech rivals in generative AI, the technology underpinning chatbots, and other popular new technologies. However, the company is preparing to introduce a new AI strategy at its June Worldwide Developers Conference.
Its approach is expected to focus on cutting-edge proactive features that assist users daily.

Apple's Planned AI Announcements

Although the details around Apple's AI chip are still uncertain, CEO Tim Cook has stated that the business will reveal its AI initiatives at WWDC 2024, an annual software and developers conference.

It follows a misunderstanding over a report claiming AI announcements will be made at the May event, which is commonly assumed to be an iPad hardware event bringing cutting-edge technology.

Large-scale preparations are underway for Apple's forthcoming events, showcasing the company's latest advancements, including the explicit mention of AI technology.

There were rumors that the May 2024 iPad event would also feature public statements about AI, but this will not happen, as the focus will be on Cupertino's new tablets.

That being said, generative AI is not regressing with this release; instead, it will continue to advance in time for the 2024 WWDC scheduled for June 10.

Although it was widely anticipated that Apple would stop providing AI news, the company utilized its developer conference to reveal the updates it has in store for users in the artificial intelligence space.

This is centered on iOS 18, which is set to receive its "biggest update ever," in addition to significant modifications to other operating systems such as macOS, tvOS, iPadOS, Safari, and more.

Apple's AI-Powered Mac Overhaul

Previous reports also indicated that Apple's AI-focused M4 processing chips will be included in nearly every Mac model the iPhone manufacturer releases in an attempt to increase the Mac Line's sales through AI capabilities.

Apple intends to replace every Mac model with the new CPU, which will come in at least three main types, according to sources who asked not to be named since the plans have not been made public.

The company intends to ship the updated computers in late 2024 or early 2025. The lineup will include new iMacs, Mac minis, top-tier 14- and 16-inch MacBook Pros, and a budget-friendly 14-inch MacBook Pro.