Apple is exploring acquisitions of semiconductor startups to bolster its AI server chip capabilities, according to a report from The Information. The iPhone maker has been in active talks with investment bankers and chip startups in recent months.
Apple currently relies on its in-house M2 Ultra chips for some AI data center tasks but has hit a performance ceiling. For heavy AI workloads — including running versions of Google’s Gemini model to power next-generation Siri — Apple has been forced to outsource to Google Cloud’s Nvidia-powered infrastructure.
Apple’s next-generation AI server chip, code-named Baltra, was slated to debut this year but has reportedly been delayed. The acquisition hunt suggests Apple is seeking external engineering talent and technology to accelerate its in-house chip road map rather than waiting for its own development timelines.
The push comes as Apple faces increasing competitive pressure in AI. Rivals including Google, Microsoft, Amazon, and Meta have all invested heavily in custom AI silicon, while Apple has lagged in data center AI capabilities despite its industry-leading device chips.
Apple declined to comment on potential acquisition targets.
