Apple has quietly explored building its own cloud service for developers. If launched, this move would put it in direct competition with Amazon Web Services, Microsoft Azure, and Google Cloud. Internally known as Project ACDC (Apple Chips in Data Centers), the effort aimed to rent out Apple-powered servers to developers, using the company’s M-series chips to compete on both performance and cost.
Why Apple Considered the Cloud
The driving force behind Project ACDC was Apple’s confidence in its custom silicon. The M-series chips, already known for strong performance and efficiency in Macs and iPhones, were seen as a competitive advantage in server environments. Apple identified an opportunity in the rising demand for running AI inference, where pre-trained models handle tasks like speech recognition or image classification.
The company began using these chips inside its own data centers. One of the earliest implementations came through Siri, which used Mac chip-powered servers for text-to-speech functions. People familiar with the matter said these servers improved accuracy and lowered costs compared to Intel-based options. Later, teams working on Photos and Apple Music also adopted the same infrastructure to boost performance in areas like search.
Instead of launching a traditional enterprise sales operation, Apple planned to handle access through its existing Developer Relations team. The idea was to offer a more Apple-like developer experience than what AWS or Azure currently provide.
A Quiet Shift and an Uncertain Future
Apple never publicly confirmed the project. According to The Information, internal discussions about Project ACDC continued into the first half of 2024. However, the departure of Michael Abbott, Apple’s head of cloud engineering and a main supporter of the project, in 2023 leaves the current status unclear.
Apple’s cloud strategy was aimed at allowing developers to offload compute heavy app features without managing their own servers. The company already uses this infrastructure for services like Apple Music and Apple Wallet. If the service had moved forward, it might have carried iCloud branding and strengthened Apple’s services revenue.
That goal matters. With regulators challenging App Store fees and the multibillion-dollar Google search deal under scrutiny, Apple is under pressure to grow its services business. A cloud platform powered by Apple silicon would fit well into that strategy.
Even if Project ACDC doesn’t move forward, Apple’s willingness to explore this space shows how seriously it’s thinking about turning its chip advantage into something bigger.