Apple considers Nvidia tech for return to server market, The Information reports

Apple Inc. has held discussions regarding the potential integration of Nvidia Corp.'s NVLink Fusion networking technology into a planned enterprise artificial intelligence inference server. According to a report from The Information, the hardware initiative could signal Apple's return to the dedicated server market for the first time since discontinuing its Xserve product line in 2011. The prospective server system is being designed to utilize two or four of Apple's upcoming high-performance M8 Ultra chips, catering directly to AI developers, enterprise customers, and government institutions. A collaboration between the two technology giants would represent a notable reconciliation, following nearly two decades of strained relations tied to defective graphics chips that caused MacBook hardware failures. Nonetheless, sources emphasized that the server project remains in development, is not expected to hit the market before 2029, and could still be canceled or modified without Nvidia technology. Following the news, Apple shares reversed premarket losses to trade modestly higher, as market participants reacted favorably to the company's potential expansion into enterprise AI infrastructure.