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Apple working on AI chips for data centres: Report

Apple is in the process of developing its AI-powered chip which has been designed for data centers. Internally referred to as Project ACDC (Apple Chips in Data Center), the initiative seeks to harness Apple's proficiency in chip design to bolster its server infrastructure.

Edited By: Saumya Nigam @snigam04 New Delhi Updated on: May 07, 2024 18:17 IST
Apple, AI chips, data centres
Image Source : FILE Apple working on AI chips for data centres

Apple has been reportedly developing its chip which will run on artificial intelligence (AI) software in data centres, the Wall Street Journal reported on Monday, citing people familiar with the matter.

The project, internally codenamed as Project ACDC (Apple Chips in Data Center), aims to leverage Apple's chip design expertise for its server infrastructure, the report said.

Apple, whose shares were 1% higher before the bell on Tuesday, did not respond to a Reuters request for comment.

The company has emerged as a major chip designer in recent years, thanks to the success of its semiconductors that are used in the iPhone, iPad and Mac laptops.

Apple's server chip will likely be focused on running AI models, also known as inference, rather than in training AI models, where Nvidia (NVDA.O), opening new tabs is dominant, the WSJ report said.

Amid growing pressure due to a slow rollout of AI services, CEO Tim Cook had last week signalled that Apple plans to unveil a raft of features powered by the technology in the coming months.

"We continue to feel very bullish about our opportunity in generative AI and we're making significant investments," Cook told Reuters last week.

The company plans to hold a virtual event on Tuesday where it is expected to showcase new iPad models, some of which could come with a new chip aimed at speeding up AI tasks carried out on the devices.

Project ACDC has been in the works for several years and it is uncertain when the new chip will be unveiled, if ever, the WSJ report said.

Apple has been closely working with Taiwan Semiconductor Manufacturing Co, opening a new tab to design and initiate production of such chips and it remains uncertain whether both companies have yielded a definitive result, the report said.

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Also, Tim Cook shared that Apple experienced strong double-digit growth in the March quarter from India. He further stated that Apple will continue to expand its operations in the country. 

Reported by Reuters

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