Apple throws Europe a €1 billion Bavarian bone

From Apple PR’s “Apple will invest over 1 billion euros in Germany and plans European Silicon Design Center in Munich” posted Wednesday:

Building on its deep roots in the region, Apple is adding a new facility in Munich to focus on 5G and future wireless technologies.

Apple will make Munich its European Silicon Design Center, adding hundreds of new employees and a new state-of-the-art facility focused on connectivity and wireless technologies. Munich is already Apple’s largest engineering hub in Europe, with close to 1,500 engineers from 40 countries working in a variety of areas including power management design, application processors, and wireless technologies. Their work is contributing to Apple’s custom silicon designs with industry-leading performance, powerful features, and incredible efficiency. The expansion in Munich, together with additional investment in R&D, will exceed 1 billion euros in the next three years alone.

“I couldn’t be more excited for everything our Munich engineering teams will discover — from exploring the new frontiers of 5G technology, to a new generation of technologies that bring power, speed, and connectivity to the world,” said Tim Cook, Apple’s CEO. “Munich has been a home to Apple for four decades, and we’re grateful to this community and to Germany for being a part of our journey.”

My take: Is it too cynical to suggest that when the EU attacks Apple it doesn’t hurt to remind its members where in Europe its bread is buttered?

12 Comments

  1. William Baggs said:
    “My take: Is it too cynical to suggest that when the EU attacks Apple it doesn’t hurt to remind its members where in Europe its bread is buttered?”

    Not at all and great point. Europe has a massive push into frontier science and this would greatly please them. Also Europeans don’t have the same affinity to self harm that UK does (namely Brexit).

    3
    March 10, 2021
  2. Bart Yee said:
    Putting cross pressure on the EU – raising EU investments in people, facilities and money and becoming a part EU company may make it harder for the EU to come down on them. Also, increasing chip and semiconductor research and production (maybe) will enhance Apple’s visibility, unless other EU companies cry “unfair competition.

    2
    March 10, 2021
  3. Fred Stein said:
    IMHO, the EU regulators attacking Apple are cynical. The EU gets all kinds of benefits, form VATs, to getting great products, to providing jobs for the App developers and for the value that those Apps provide to the App developers and their customers.

    Apple plays the long game. For us investors, Apple hires the world’s best talent to design the worlds best price/power/performant chips. In this case, that’s the real prize. Those talented engineers will do well too, in salary and advancing their skills.

    2
    March 10, 2021
  4. Romeo A Esparrago Jr said:
    Nice.
    My ex-boss is in Munchen Bayern area somewheres.
    So is BMW, Infineon, Audi, and Puma.

    4
    March 10, 2021
    • David Emery said:
      A lot of Siemens Research is in the Munich area, too.

      0
      March 10, 2021
  5. Jerry Doyle said:
    It pleases me immensely and makes me proud that Apple is an American company start-up. Nowhere else could such a company evolve with such success. Having stated that fact, I never ever see Apple as an American company. Apple never attempts to be only an American company. Apple is a “global community” company. I make this statement seriously. I also believe Tim Cook sees Apple as a global community company. Apple is a company for all peoples, for all nations of the world connected by state-of-the-art Apple technology that facilitates a global community joined together economically, socially, culturally, ethnically, racially and educationally as a globally diverse society united by this great global company. That is how I believe many sees Apple, including Apple.

    8
    March 10, 2021
  6. Alessandro Luethi said:
    Apple makes good use of its cash and shows how globalization can have a positive impact.

    3
    March 10, 2021
  7. Timothy Smith said:
    Engineering talent plus immigration policy to attract more plus not on China?

    1
    March 10, 2021
  8. Michael Goldfeder said:
    This will also be helpful as the European Court of Justice will be hearing the $15 billion Ireland and Apple tax case in the next couple of months that the General Court already tossed out in favor of Ireland and Apple. This is a brilliant move by Apple who have a knack for anticipating the future needs of global consumers and political variants on all points of the global compass.

    I’m guessing Margrethe Vestager is not having a pleasant day after reading this move by Apple to expand operations in the heart of the EU.

    3
    March 10, 2021

Leave a Reply