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Comment by brudgers | Hacker News Reader

In terms of investment in manufacturing, $100 million is chump change. Fabs are an order of magnitude or more greater. The amount is approximately that required for a middling "power center" shopping development. Or constructing a handful of Apple stores.

Not to be cynical, but I suspect that local, state and federal tax subsidies will yield a positive ROI on the $100 million. This looks like pure PR.

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Thanks for saying this. Apple had a quarterly net profit of 8.2 billion.

http://www.apple.com/pr/library/2012/10/25Apple-Reports-Four...

Quarterly. Net. Profit. That's less than 1% of their pure profit reinvested in the US. Ignoring the credits and subsidies they will get. Cry me a river.

You're only partially correct. Apple doesn't need a fab. Apple needs a systems integrator like Foxconn and it's MUCH cheaper (order of magnitude max) to setup an assembly plant than a fab. But yes, I suspect subsidies would make even a $100m investment profitable.

I was using chip fabs as a point of comparison in regards to the scale of Apple's investment. It was chosen because HN readers are more likely to be familiar with the cost of such manufacturing plants than, for example, those associated with automotive manufacturing.

I agree that Apple doesn't need a fab. It doesn't need a manufacturing facility in the U.S. either.

They might eventually need one (or a non-Samsung partner) considering their increasingly contentious relationship. Intel would definitely fit into the overall progression of events[1].

[1]http://www.phonearena.com/news/Intel-wants-to-take-Apples-ch...

Thank you for saying this. If you look at Apples stock today, its up $10 a share, or $10 BILLION dollars in market cap just because they are going to make a shitty $100 million dollar investment. Why are the people so impressed with this?

What makes you think today's minor fluctuation in price (still down from yesterday's open) is in any way connected with this announcement?

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