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Loop Capital said Apple is looking to place orders for about $1 billion in Nvidia GB300 NVL72 systems, translating to 250 servers costing roughly $3.7 million to $4 million each.
As Apple, Inc. (AAPL) faces a time overrun in launching the artificial intelligence (AI)- powered Siri, the tech giant is reportedly eyeing an investment in an AI data center.
Apple is looking to place orders for about $1 billion in Nvidia GB300 NVL72 systems, which would translate to 250 servers costing roughly $3.7 million to $4 million each, Loop Capital analyst Ananda Baruah said in a note, according to an Investor’s Business Daily report.
Cupertino is working with AI server companies Dell Technologies, Inc. (DELL) and Super Micro Computer, Inc. (SMCI), the analyst said, adding that “While we are still gathering fuller context, this appears to have the potential to be a Gen AI LLM (large language model) cluster."
Baruah said Apple’s decision to increase its AI investment potentially stemmed from the delay in the enhanced Siri launch. After previewing the advanced AI features that would go into the personal digital assistant at the 2024 annual Worldwide Developer Conference and hinting at an early 2025 launch, the company has reportedly pushed the schedule forward to 2026.
A Bloomberg report said that, in an atypical move, CEO Tim Cook decided to move around personnel and shift Siri to the software division due to the delay.
Morgan Stanley analyst Erik Woodring said the postponement of the advanced Siri integration into Apple Intelligence will likely temper the next 12 months’ iPhone upgrade rates compared to his prior expectations.
Separately, Apple announced on Monday that its lossless audio and ultra-low latency audio will be available on AirPods Max through a software update next month.
On Stocktwits, sentiment toward Apple stock remained ‘bullish’ (57/100) and the message volume stayed ‘low.’
The optimism toward Apple stock is based on President Donald Trump hinting at relenting a bit on his tariff wars. A user said the stock could run up to the $240 level.
Another user said the stock is poised to outperform from the current beaten-down levels.
Apple ended Monday’s session up 1.13% at $220.37 but is down nearly 12% this year.
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