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Apple is America's semiconductor problem
If Apple wants to source its chips for pennies from foreign suppliers, it should have to pay a price to do so, such as a duty on imported iPhones using only foreign-sourced chips. Realizing the promise of the CHIPS Act depends on acknowledging and addressing Apple’s outsized influence over our domestic chip industry.
Apple’s rise to become the world’s foremost producer of smartphones—using a range of exclusive deals, anti-competitive practices, and race-to-the-bottom sourcing strategies—is intimately intertwined with why we needed to pass the CHIPS Act in the first place. Apple is the primary obstacle to the success of reshoring chip fabrication, and more action needs to be taken by the federal government to rein in its control over the global electronics supply chain. This economic power has allowed Apple to single-handedly push an enormous fraction of the world’s electronics supply chain to East Asia and to China specifically.
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