Apple is reportedly making an AI server chip with Broadcom’s help

The future of technology involves AI and Apple is doing what it can to be part of that future. To that end, a new report states that the company has a partnership in place to develop its AI hardware.

According to The Information (subscription required), Apple is working with Broadcom on a server chip that can handle the demands of AI processing. The chip, code-named Baltra, is expected to be ready by 2026. While Apple is working with Broadcom on the development of Baltra, The Information reports that the actual manufacturing will involve TSMC’s N3P process, an enhancement of 3nm production technology.

Last May, Bloomberg reported on project ACDC (Apple Chips in Data Centers), Apple’s effort to build a cloud infrastructure using its own chips. Project ACDC began in 2021, but with the AI boom, Apple prioritized the project in order to support its Apple Intelligence features. ACDC involved the use of M2 Ultra chips with plans for the M4; it’s not clear if Baltra will be part of the ACDC project, but it does seem like a fit.

AI technology is processor-intensive, so much so that many tasks are processed in the cloud–AI technologies from other companies mostly rely on cloud processing. Apple has been able to develop many Apple Intelligence features so that the processing occurs on the device, but as the features evolve they become more complex and require the processing power that the cloud provides. If Apple does successfully execute Baltra by 2026, that could be followed by a wave of more robust and complex Apple Intelligence features.

AI chips are all the rage, with Google announcing its own Willow quantum AI chip just this week. Google says the chip, which represents the culmination of a decade of development, performed “a standard benchmark computation in under five minutes that would take one of today’s fastest supercomputers 10 septillion years.”

On Wednesday, Apple introduced a second wave of Apple Intelligence features that include the Image Playground app where you can create AI-generated images; Genmoji, custom emoji that you create; ChatGPT-based writing tools, and more. The new features are available in the iOS 18.2, iPadOS, 18.2, and macOS Sequoia 15.2 updates.

The Apple/Broadcom AI deal is the latest in the two company’s shared history. Apple is working with Broadcom on RF filters for Apple’s own 5G modem that could debut in the iPhone SE in 2025. Furthermore, a report last October stated that Apple is developing its own Wi-Fi chip that would replace a chip made by Broadcom.