Apple launches ' ;Project ACDC' to become a pioneer in the field of artificial intelligence chips for data centers.
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Amid the high-stakes battle over artificial intelligence, Apple is moving forward with “Project ACDC,” a recently publicized secret initiative that is developing its own artificial intelligence chips for data centers.
Under the internal name Project ACDC, Apple is developing Apple Silicon designed specifically for server farms dedicated to AI processing. The company aims to optimize artificial intelligence applications in its data centers for future versions of its platforms.
Apple is a leader in developing proprietary chips for its devices, including iPhone, iPad, Apple Watch and Mac computers. The move to create server-specific AI chips is a natural extension of her experience, The Wall Street Journal reports.
The company has hinted that it will unveil new products and advancements in artificial intelligence at the upcoming Worldwide Developers Conference in June. For example, the next version of Safari could include user interface improvements, improved content blocking capabilities, and an innovative AI-powered feature called Smart Search.
According to sources, Siri will receive a similar update as Apple plans to improve integration with its Messages app. In future versions of Apple's operating systems, the company's artificial intelligence may analyze the content of messages to create summaries.
The actions of competitors such as Microsoft and Meta have increased the urgency of developing these artificial intelligence capabilities. These companies quickly refocused their efforts on generative AI following the public impact of OpenAI's ChatGPT.
Microsoft in particular has benefited from its early and close partnership with OpenAI, recently surpassing Apple as the world's most valuable company.
There is growing impatience among Apple investors over a perception that the company is lagging behind rivals in artificial intelligence innovation. However, the potential impact of Apple's advances in artificial intelligence on its market value should not be overlooked.
Apple's move comes as artificial intelligence technology becomes key to corporate strategies across industries. As companies like Amazon, Google and others also increase their focus on artificial intelligence, the technology's role in business continues to evolve, affecting everything from cloud computing to consumer electronics.
Apple moves into AI territory
Apple significantly increasing its investment in the artificial intelligence sector and plans to commit more than $5 billion over the next two years to improve artificial intelligence servers. The company aims to match the technological capabilities of industry leaders such as Microsoft and Meta by acquiring tens of thousands of artificial intelligence servers.
These improvements are designed to enhance the artificial intelligence capabilities of devices running iOS 18.
TSMC is pushing ahead with development of 3nm processors, and Apple is reportedly delivering all production capacity for these chips. Apple was originally expected to use the technology for the newest iterations of its A-series chips in iPhones and M-series chips in Mac computers.
However, recent revelations by an individual known as “Phone Chip Expert” on Chinese social media platform Weibo suggest that Apple is actively working on a custom AI processor. Mass production of this AI chip is expected to begin in the second half of 2025, the source said.
Apple's strategy includes owning and operating its own hardware to improve security and design flexibility, differentiating it from competitors who may rely on cloud services.
In addition, the next-generation M4 and A18 chips are expected to feature significantly upgraded neural engines. These improvements are designed to enhance artificial intelligence capabilities in devices running iOS 18 and could appear at the iPad event on Tuesday.
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