Apple’s new high tech server factory will be located in Texas. This is a meaningful step in further invigorating its U.S. manufacturing operations to build EV technology at scale. This new facility will bring as many as 300 manufacturing and research and development jobs. It will reduce the local employment impacts of its projects to a meaningful extent.
Apple’s collaboration with MP Materials, currently the only rare earth mine in operation in the U.S. Together, their goal is to increase the production of rare earth elements that are essential in developing and manufacturing cutting-edge technological innovations. Apple CEO Tim Cook emphasized the importance of this collaboration, stating, “Rare earth materials are essential for making advanced technology, and this partnership will help strengthen the supply of these vital materials here in the United States.”
Stock price jumped 23% on the favorability of the act alone. MP Materials intends to start shipping magnets by 2027. The wonderful thing is that their business has been so tremendously successful this year. Its shares have almost 4x’d, sending its market capitalization approach $10 billion. The stock has almost doubled over the past month alone — a reflection of investor optimism about the company’s long-term recovery prospects.
Cook reiterated Apple’s commitment to American innovation, stating, “American innovation drives everything we do at Apple, and we’re proud to deepen our investment in the U.S. economy.” Establishing a stable supply of critical materials thus far, research and economic interests have brought the two partners together. It’s a major driver of the growth of the domestic economy.
This new partnership better equips both companies to make that same kind of big splash. In doing so, they will remake the U.S. technology manufacturing landscape. With national security and reliance on foreign supply chains becoming even greater concerns, these issues are magnified. It’s an important move in this initiative that builds toward a more self-sufficient and resilient technological infrastructure.