Tim Cook has just given a masterclass in how to manage Donald Trump

Apple made headlines around the world on Monday after announcing that as a result of a conversation between Tim Cook and Donald Trump it would be investing more than $500 billion in the United States over the next four years and creating thousands of jobs, in what looks like “a bet on America”.

But before we pop the champagne corks, let’s take a closer look. Bet on America? Is this really an innovative transformation, a strategic change of direction prompted by a combination of hefty tariffs, “smart” policies and Donald Trump’s awe-inspiring leadership, or is it simply another example of Apple’s ability to spin a good story, to use smoke and mirrors to boost the Idiot-in-Chief’s already sagging popularity?

On closer examination, it turns out that the company is talking about money either already spends or is earmarked. The figure includes everything from day-to-day activities with thousands of suppliers in all fifty states to the operation of its domestic data centers, as well as its investments in Apple TV+ and other projects already manufactured in the country. Revolutionary investment? No, it is simply more of what it already does.

In addition, the announcement includes mention of a new advanced manufacturing plant in Houston to produce servers that support Apple’s AI. As ever, the devil is in the detail and in the use of the word “partner”: in reality, that plant is owned by Foxconn, which is actually doing the investing and creating jobs. Apple has perfected the art of outsourcing capital expenditure (CAPEX) to its partners, which enables it to make a presentation with grandiose figures without having to make massive outlays of its own resources.

Apple announces these huge investment plans every few years: in 2018, the figure published was $350 billion, and in 2021, $430 billion, so the size is supposedly increasing. And yet the company routinely spends far less than any other tech company on CAPEX, especially in the category of spending on new servers and chips, which is skyrocketing in the rest of Big Tech.

In fiscal year 2024, Apple’s CAPEX spending was just $9.5 billion, or 2.4% of revenue, while Alphabet (whose revenue is reasonably similar to Apple’s, but sells mostly advertising rather than…