Apple Inc. said today it has penciled in a new multiyear deal with Broadcom Inc. that’s expected to be worth more than $30 billion, in what is the iPhone maker’s largest commitment to U.S. manufacturing so far.

The deal, announced this morning, will see more than 15 billion chips manufactured on U.S. soil, and will also help to fund a $1.5 billion expansion of Broadcom’s existing chip fabrication plant in Fort Collins, Colorado. Neither company provided a timeline for when the new production capacity is expected to come online.

Chipmaker Broadcom has been a partner of Apple’s for years, but until now it has primarily supplied it with connectivity components for its iPhones and other devices. The new deal expands that relationship, with Broadcom set to provide Apple with wireless components that will enable its devices to connect to Wi-Fi, cellular and Bluetooth networks.

Some details of the expanded partnership were first revealed on Monday by Broadcom in a filing with the Securities and Exchange Commission. The chipmaker disclosed that it has entered into a new long-term agreement with Apple that would see it develop and manufacture “custom ASIC silicon products” that would be used in the company’s devices through 2031. ASICs are application-specific integrated circuits that can be customized to make them more efficient at specific workloads, and they’re also increasingly being used for some artificial intelligence applications.

It’s believed that Apple’s collaboration with Broadcom on ASICs has been a work in progress for some time, with reports that the two companies were working together on “AI chipsets” first emerging in December 2024.

Apple’s outgoing Chief Executive Tim Cook said the deal with Broadcom represents the biggest chunk of a larger commitment to invest $600 billion in U.S. manufacturing over four years. Apple announced that plan last year, saying it wants to expand domestic production and strengthen its American supply chain, though most experts believe that it was strong-armed into the plan by U.S. President Donald Trump in return for an exemption from tariffs. In today’s announcement, it said it has been working closely with the U.S. government and businesses to help create an “end-to-end silicon supply chain” that sits exclusively on American soil.

“Apple and Broadcom have a long history together, and this new phase of our partnership further accelerates our commitment to American manufacturing and innovation,” he said.

Nevertheless, the amount of money Apple spends on connectivity chips is only a small fraction of what it pays for the more powerful processors that sit at the heart of its devices. Those chips are mostly still manufactured overseas by Taiwan Semiconductor Manufacturing Co., primarily in Taiwan. Apple also spends billions of dollars per year on memory and storage chips made in South Korea by Samsung Electronics Co. Ltd. and SK hynix Inc. Memory chips have become vastly more expensive over the last year, as demand has skyrocketed beyond what those companies can provide due to the rise of AI.

Apple has tried to source more of these chips from the U.S., chiefly through a commitment to buy products made by TSMC at a new facility under construction in Arizona. It also buys some chips from a GlobalWafers Co. Ltd. facility in Texas that supplies the TSMC fab, as well as advanced chip packaging technology from Amkor Technology Inc., which also has a site in Arizona.

Last month, Apple expanded these efforts when U.S. President Donald Trump revealed that it had agreed a deal with Intel Corp. to buy chips made at that company’s U.S. chipmaking facilities, though the value of that commitment hasn’t been revealed publicly. It’s thought that the deal primarily concerns chips destined for Apple’s MacBook computers, rather than iPhone components.

Broadcom President and CEO Hock Tan said he shared Trump’s commitment to American innovation. “With Apple’s newest commitment, we’re pleased to expand our manufacturing footprint in Fort Collins, where we create groundbreaking technology that connects people around the world,” he said.

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