Apple Could Begin Mass Production of In-House AI Server Chips Later This Year: Ming-Chi Kuo

Apple might soon launch self-developed artificial intelligence (AI) server chips. Noted analyst Ming-Chi Kuo claimed that the Cupertino-based tech giant could begin the mass production of these processors in the second half of the year. The information comes at a time when the iPhone-maker has forged a partnership with Google to use its AI model to power Siri. While it cannot be said for certain, Apple's current playbook appears to be focusing on developing AI infrastructure and collaborating on the core technology.

Apple Could Start Making AI Server Chips Soon

In a post on X (formerly known as Twitter), TF Securities analyst Kuo said, “Apple's self-developed AI server chip is expected to enter mass production in the second half of the year (translated from Chinese via Google).” Additionally, it was also said that the tech giant could construct and operationalise its in-house data centres next year.

For the unaware, AI server chips are specialised processors used in data centres to train and run AI models. They are designed to handle large volumes of mathematical calculations in parallel, making them far more efficient than standard CPUs for machine learning tasks. Common forms include GPUs and dedicated AI accelerators, which power applications such as chatbots, image recognition and data analysis at scale.

If the information is true, then it is clear that the iPhone-maker has decided to heavily invest in the infrastructure of AI technology. Apple has already released multiple AI-enabled chipsets for its smartphones and laptops, created the Private Cloud Compute for secure server-based data processing, and might soon build out and handle end-to-end AI deployment and inference with the server chip and data centres.

The timing is also interesting. Apple has just announced a partnership with Google, which will allow it to use a custom Gemini AI model to power Siri and certain Apple Intelligence features. With the OpenAI deal already in place and the company's self-developed Foundation Models, it is also in a good position, core technology-wise.

However, when it comes to the end-product, Apple's AI offerings have not impressed the users much. If the company does have interesting and innovative AI features under development, the earliest we might hear about them is in June, when it will host its annual Worldwide Developers Conference (WWDC).