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- Apple’s CFO said data center spend could “grow substantially”
- The company posted a 10% rise in quarterly earnings
- It’s also staying on top of its sustainability credentials
Apple has alluded to wanting to increase spending on artificial intelligence and data centers to catch up with rivals after early Apple Intelligence features have left users wanting more in the shadow of Microsoft and Google systems.
CEO Tim Cook expressed an interest in acquiring larger AI companies after the company bought out seven smaller companies in 2025, marking a shift from the iPhone maker’s typical strategy of low-key acquisitions.
The news came as Apple announced its third-quarter financial results, revealing a 10% year-over-year quarterly revenue of $94.0 billion.
Apple plans to invest more in Apple Intelligence
Speaking about double-digit growth across iPhone, Mac, and Services, Cook said: “We were excited to introduce a beautiful new software design that extends across all of our platforms, and we announced even more great Apple Intelligence features.”
The company has fallen behind the likes of Microsoft and Google, who are spending around $85-100 billion annually on AI and data centers. Currently, Apple mostly relies on third-party data centers and has built a handful of AI tools in house, however users have been left facing disappointing launches and delays.
All of this could be about to change if Bloomberg reporting suggesting that Apple could buy Perplexity turns out to be true.
Speaking about data center spend on the earnings call, CFO Kevan Parekh explained: “It’s not going to be exponential growth, but it is going to grow substantially.”
However, Apple’s cautious approach has proven valuable in terms of the company’s environmental impact, where other companies have seen significant impacts from rapid data center expansion. In its 2024 Environmental Progress Report, the company highlighted its own proprietary server designs, which have boosted energy efficiency and reduced water consumption – they’ve also been powered by renewable energy since 2018.
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Unlock the Secrets of Ethical Hacking!
Ready to dive into the world of offensive security? This course gives you the Black Hat hacker’s perspective, teaching you attack techniques to defend against malicious activity. Learn to hack Android and Windows systems, create undetectable malware and ransomware, and even master spoofing techniques. Start your first hack in just one hour!
Enroll now and gain industry-standard knowledge: Enroll Now!
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