In its widely-reported announcement that it will repatriate an estimated $245 billion in overseas earnings, Apple also disclosed plans to invest over $30 billion in capital expenditures in the U.S. over the next five years. Over $10 billion of this CAPEX will be investments in U.S. data centers.
Apple currently has data centers and co-located facilities in seven US states, including North Carolina, Oregon, Nevada, Arizona and a recently announced project in Iowa. The company has just broken ground on a new data center in Reno, Nevada located next to its existing facility in the city.
Apple will also increase the size of its Advanced Manufacturing Fund from $1 billion to $5 billion.
In December, Apple announced plans to invest $390 million in Finisar to support the high-volume production of Finisar’s vertical-cavity surface-emitting lasers (VCSELs), which are used power Apple’s TrueDepth camera on the iPhone X as well as the proximity-sensing capabilities of AirPods. The iPhone X’s TrueDepth camera enables Face ID, Animoji and Portrait mode selfie capabilities.
The $390 million investment comes from Apple’s $1 billion Advanced Manufacturing Fund supporting innovation and job creation by American manufacturers.
Finisar plans to reopen its 700,000 square foot manufacturing plant in Sherman, Texas. Volume production should be underway in the second half of 2018. The companies estimate this will create more than 500 jobs at the facility. Finisar operates another plant in nearby Allen, Texas. With both plants in full operation, Finisar’s payroll in northern Texas is expected to be $65 million.
