The Trump presidency is all about appearances; this president appearing strong in the face of his perceived enemies. And the country appearing robust despite the threat of tariffs that would hit American consumers in their pockets.
And the tech executives, lining up to back the new US president, may also be concerned with appearances. Appearing to back a president who may hit their companies with significant financial burdens seems to be a calculated risk that some are willing to take.
Trump, of course, is quick to capitalise on this. Monday’s announcement that Apple is to invest up to $500 billion (€477 billion) in its US operations over the next five years, and hire 20,000 research and development staff, gave him plenty of material with which to work.
Trump was quick to plant the seed that this was due to his tariff threats. The US president said he would impose additional taxes of 10 per cent on items that are imported from China, where Apple has significant operations.
But look a little closer. The investment promised by Apple isn’t too much more than what it had already planned to invest.
To put it in context, Apple said in 2021 it would invest $430 billion over five years in the US, and add 20,000 jobs in that timeframe. Before that, back in 2018, Apple said it would invest $350 billion over five years in the US, an estimate it outstripped. That also coincided with a Trump presidency and threats of tariffs from the administration.
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The latest plans simply follow the pattern the company has already laid out.
If Apple is deciding to hire 20,000 workers, it isn’t based on a Trump whim. It is doing so because this makes business sense. That it will also play well with the president is a bonus.
When tech companies were laying off thousands of workers in 2022 and 2023, Apple wasn’t hit as badly. The company had been more conservative with its hiring than its fellow tech giants, meaning there was less to trim when market growth stuttered.
But with the right spin, it appears as if Trump has won something. And the US president is more than happy to jump on that and take credit.
