Apple is planning to invest billions in the U.S. economy over the next several years — after hoarding most of its immense cash stockpile outside the country.
The tech giant announced Wednesday that it will make about $38 billion in U.S. tax payments under new federal tax laws to repatriate funds kept overseas. That suggests Apple will return virtually all of its $250 billion in overseas cash to the U.S., per a CNBC report.
In addition, Apple said it expects to create more than 20,000 new jobs through hiring at existing campuses — and by opening a new one, at a location yet to be announced. Currently, Apple employs 84,000 people nationwide in all 50 states.
All told, Apple said its “direct contribution” to the U.S. economy will be more than $350 billion over the next five years. That figure includes its spending with domestic suppliers and manufacturers, which Apple estimates will be $55 billion for 2018; the company said it excludes Apple’s ongoing tax payments, taxes from employees’ wages and the sale of products.
“Apple is a success story that could only have happened in America, and we are proud to build on our long history of support for the U.S. economy,” Apple CEO Tim Cook said in a statement. “We believe deeply in the power of American ingenuity, and we are focusing our investments in areas where we can have a direct impact on job creation and job preparedness. We have a deep sense of responsibility to give back to our country and the people who help make our success possible.”
The company’s new Apple campus — separate from its Cupertino, Calif., headquarters — will initially house technical customer support. The location of the new facility will be announced later in 2018, Apple said.
Apple expects to invest over $30 billion in U.S. capital expenditures by the end of 2022, with more than $10 billion of that invested in data centers across the country. Currently, Apple operates data centers and co-location facilities in U.S. states including North Carolina, Oregon, Nevada, and Arizona. Apple said it is breaking ground on a new facility in downtown Reno, Nev., which will support its existing Nevada facilities. And last summer, the company announced plans for a 400,000-square-foot data center in Waukee, Iowa, to power Apple services.
Meanwhile, Apple said it will increase the size of the Advanced Manufacturing Fund from $1 billion to $5 billion. Announced last spring, the company established the fund “to support innovation among American manufacturers and help others establish a presence in the U.S.” Through the fund, Apple said, it has invested in projects with manufacturers in Kentucky and rural Texas.
Also Wednesday, Apple notified employees that over the next few months it will issue bonuses of $2,500 in restricted stock units to workers below director-level roles, as a result of the new U.S. tax law. The bonuses were first reported by Bloomberg.
Pictured above: Apple Store in downtown Brooklyn, which opened last month, the company’s 11th location in New York City