iCloud Solar Farm And Spaceship HQ Could Push Apple Costs To $8B


Photo: Chandra Marsono
Photo: Chandra Marsono

Apple’s massive new solar farm and their next-gen spaceship campus will boost the tech giant’s 2012 expense to $8 billion — a 73% hike over this year, one analyst told investors Monday.

Apple’s capital expenditures are expected to jump by $3.4 billion in 2012, according to the company’s annual 10-K report with the Securities and Exchange Commission. Part of the reason why is the bevy of massive new infrastructure projects. For example, a 171-acre North Carolina solar farm to power its nearby iCloud and iTunes data center and a 13,000-employee Cupertino headquarters that late co-founder Steve Jobs once called the “spaceship.” The office should break ground in 2012 with a ribbon cut in 2015.

The $8 billion figure is markedly higher than the $1.2 billion Apple forecast spending in 2009 and about twice what Apple spent this year.

In addition, some analysts view the jump in project spending as yet another signal Apple will continue to ship increasingly more iOS devices. As Asymco blogger Horace Deidu notes, there is a strong correlation between Apple’s spending forecasts for 2012 and how many iOS devices they sold, implying that Apple foresees another 100% year-over-year growth in their iOS division in 2012.

Along with the costs associated with major construction, Apple also plans to build 40 new retail locations – 75 percent of which will be international. The hike in stores should push retail capital expenses to $900 million, up from $614 million.

It’s shaping up to be a pricey year for Cupertino. But you know what they say. You have to spend money to make money.

  • FriarNurgle

    Apple is creating more jobs than the US government. 

  • Boy_Lover_23

    @FriarNurgle:disqus …………I can’t beleive…..My friend’s sister makes 96/hr on the internet. She has been unemployed for 10 months but last month her income was 8253 USD just working on the PC for a few hours. Go to this web site,……http://alturl.com/cv7g5

  • Shane_burgess

    its nice to see a tech giant going green, and if the use has the same kind of feed in tariffs for solar energy apple could make a fortune selling back the energy that the make and don’t need.

  • Len Williams

    It makes sense for Apple to go solar for the data center. Even though the initial outlay costs will be high, the farm should pay for itself within a short time. The data center will have massive energy requirements that Apple will be able to provide for itself rather than buying from the local electrical utility company, and any excess can be sold back to the utility during non-peak times. Green, in this case, makes good economic sense for Apple. It also allows the data center to remain online even in times of local power outages.