Apple Eyes Return to Enterprise Server Market with New AI-Powered Servers
Apple shares (AAPL) rose about 1% to around $334 on Wednesday morning, following reports that the company is developing an enterprise AI server using its own in-house chips. The new server would mark Apple's return to the enterprise server market, which has seen significant demand due to the AI boom.
The AI server is expected to be powered by Apple's M8 Ultra chips, the company's most powerful chips yet. According to a report from The Information, Apple is considering using Nvidia's (NVDA) networking tech to power the servers, specifically NVLink Fusion, which allows for high-speed data transfer and massive capacity.
The AI server market is expected to be worth $1.24 trillion by 2030, according to Goldman Sachs (GS). If Apple does decide to enter this market, it could reach it in 2029.