- Apple’s CFO said data center expenses could “grow significantly”
- The company had an increase of 10% in quarterly earnings
- It also remains on top of its sustainability information
Apple has referred to increase the cost of artificial intelligence and data centers to catch up on rivals after the early Apple intelligence features have left users who want more in the shade of Microsoft and Google Systems.
CEO Tim Cook expressed an interest in acquiring larger AI companies after the company bought seven smaller companies by 2025 and marked a shift from iPhone Maker’s typical strategy for low-milk acquisitions.
The news came when Apple announced its financial results in the third quarter and revealed 10% year-over-year quarterly $ 94.0 billion revenue.
Apple is planning to invest more in Apple Intelligence
When we talked about double-digit growth across iPhone, Mac and Services, Cook said: “We were happy to introduce a beautiful new software design that extends across all our platforms and we announced even more good Apple Intelligence features.”
The company has fallen behind Microsoft and Google, which spends about $ 85-100 billion annually on AI and data centers. Currently, Apple is mostly dependent on third-party data centers and has built a handful of AI tools in the house, but users have been left with disappointing launches and delays.
All this can be about to change if Bloomberg Reporting that suggests that Apple could buy confusion turns out to be true.
CFO KEVAN PAREKH, who talked about data center on the earnings call, explained: “It will not be exponential growth, but it will grow significantly.”
However, Apple’s cautious approach has proved valuable with regard to the company’s environmental impact, where other companies have seen significant effects from rapid expansion of data center. In its 2024 Environmental Progress Report, the company highlighted its own proprietary server design, which has increased energy efficiency and reduced water consumption – they have also been powered by renewable energy since 2018.
