Apple Confirms FM Cloud Pro on Nvidia GPUs via Google Cloud, Abandons Private-Only AI Infrastructure

Apple has officially confirmed its frontier AI model, FM Cloud Pro, will run on Nvidia Blackwell B200 GPUs hosted on Google Cloud, marking the first time it has extended Private Cloud Compute beyond its own data centers. Craig Federighi confirmed the shift on June 9, citing the inability of Apple's two-year-old M-series private cloud to sustain agentic AI at scale. The story began in late May with a 15% AAPL stock surge to $311.35, a Bank of America price target raise to $380, and a 4% dividend hike to $0.27, before June 4 reports of the Google-Nvidia partnership ahead of WWDC on June 8. Apple also authorized a new $100 billion buyback, with Morgan Stanley raising its price target to $360, while the deal is broadly bullish for Nvidia and Google Cloud.