Apple has announced a $350 billion commitment to invest in the U.S. economy. That starts with a $55 billion investment this year, along with 20,000 new jobs. The announcement comes in the wake of the recently passed GOP tax reform plan.
“Apple’s direct contribution to the US economy will be more than $350 billion over the next five years, not including Apple’s ongoing tax payments, the tax revenues generated from employees’ wages and the sale of Apple products,” the company said in a press release.
What does this mean for me?
Besides being good PR, Apple’s announcement signifies major companies’ newfound confidence in the U.S. economy. That translates to more jobs for Americans; economic and technological growth; and in Apple’s case, education initiatives around the country. Apple plans to expand its coding programs to give students and teachers in grades K-12 and at community college the opportunity to learn.
What do we know so far about how that $350 billion be broken down?
- Around $38 billion will come from repatriation taxes as Apple brings some of its cash reserves back into the U.S.
- $30 billion will go toward new projects, including a new Apple campus.
- $10 billion will be invested in new data centers.
- $4 million will expand a fund to bring advanced manufacturing jobs to rural areas.
Glenn put the $350 billion number into perspective by comparing it to the GDP of the Philippines or Israel. Apple is investing the worth of countries’ and major cities’ entire economies back into the U.S.
“It means jobs,” Glenn said. “It means new technology. It means a booming economy.”