Apple Shifts AI Strategy With Big Acquisitions and Infrastructure Investments

Apple CEO Tim Cook has reaffirmed the company’s aggressive commitment to artificial intelligence, signaling a major shift in strategy to close the gap with competitors. Speaking in late July and early August 2025, Cook emphasized Apple’s willingness to invest heavily in AI infrastructure, increase internal hiring for AI-related roles, and pursue large-scale acquisitions to accelerate its roadmap. This marks a departure from Apple’s traditional approach of acquiring smaller, niche AI firms and suggests a more direct and expansive strategy in the AI space [1].

Cook stated that Apple is “very open” to mergers and acquisitions of any size, with no limits on the scale of potential deals. He confirmed the company has already acquired seven companies this year, though not all are AI-related. Reports suggest Apple is in discussions to acquire prominent AI startups such as Perplexity and Mistral, though no official bids have been confirmed [4].

Tim Cook described AI as “one of the most profound technologies of our lifetime,” highlighting its potential to deeply integrate with all Apple devices. He also revealed that a portion of Apple’s capital expenditures in the current quarter will be directed toward Private Cloud Compute, a custom infrastructure for on-cloud AI processing. The company is also reallocating internal resources to focus on AI features and enhancing its in-house capabilities [6].

Apple’s strategy includes both internal development and strategic partnerships. The company has already integrated ChatGPT into its ecosystem and is reported to be in talks to bring similar AI capabilities from Anthropic. Cook emphasized Apple’s commitment to delivering AI in a way that is seamless, private, and deeply embedded across the user experience, staying true to the company’s long-standing focus on privacy and design [7].

Analysts have responded positively, with some raising price targets for Apple’s stock based on the company’s increased focus on AI. While Cook did not provide specific investment figures, the tone of his remarks indicates a substantial increase in funding for infrastructure and personnel to achieve Apple’s ambitious goals [8].

As Apple continues to ramp up its AI efforts, the tech industry is closely watching whether the company can replicate its historical success with delayed market entries—such as the iPhone and iPad—and establish itself as a leader in the AI space. The potential for large-scale acquisitions and infrastructure investment signals Apple’s intent to reshape the AI landscape in the coming years [3].