Key insights
- Apple's $400M manufacturing fund expansion benefits Cirrus Logic, which will develop next-gen Face ID components. Stifel estimates a potential $180M revenue opportunity for Cirrus in fiscal 2027 based on Pro iPhone sales. This reinforces Apple's commitment to US manufacturing and could positively impact semiconductor suppliers. However, Cirrus Logic's high revenue dependence on Apple remains a risk.
Investing.com - Apple named Cirrus Logic as a beneficiary of a $400 million expansion of its Advanced Manufacturing Fund program, Stifel said today. The $3.76 trillion tech giant, which generated $435.6 billion in revenue over the last twelve months, continues expanding its U.S. manufacturing partnerships. The program also includes GlobalFoundries and three other suppliers.
Cirrus Logic (NASDAQ:CRUS) will develop next-generation mixed-signal integrated circuits for Face ID, Apple said. The new Face ID component could be for a rumored under-display sensor for Pro iPhone models, Stifel said.
Apple said GlobalFoundries’ latest silicon process will be available in the U.S. for the first time. Cirrus and GlobalFoundries announced an expansion of their partnership in August 2025 to bring a Bipolar-CMOS-DMOS process to market at GlobalFoundries’ Malta, New York facility.According to InvestingPro analysis, Apple currently trades above its Fair Value, and investors can access comprehensive Pro Research Reports covering the company’s strategic investments and financial outlook.
Stifel estimates the next-generation Face ID integrated circuit could command an average selling price of around $2.00 and will likely be present initially on Pro iPhone models. The firm estimates the component could represent a $180 million incremental revenue opportunity for Cirrus in fiscal year 2027 if it ramps during that period, based on an estimated 90 million Pro iPhone sales.
Apple represented 89% of Cirrus Logic’s fiscal 2025 revenues and 94% in the fiscal third quarter of 2026, Stifel said. The firm’s current fiscal 2027 revenue estimate of $2.14 billion does not include the potential Face ID opportunity.
In other recent news, Apple announced Cirrus Logic as a key partner in its American Manufacturing Program, with plans to invest $400 million through 2030. This initiative is part of Apple’s broader $600 billion commitment to U.S. manufacturing. In terms of analyst ratings, UBS reiterated a Neutral rating on Apple with a price target of $280, following a survey of iPhone users regarding their purchase intent and service usage. Meanwhile, Monness, Crespi, Hardt maintained a buy rating with a $315 price target, highlighting Apple’s recent product launches across its Mac, iPhone, iPad, and AirPods lines.
Additionally, Apple began implementing age verification measures for iPhone users in the United Kingdom, in response to government pressure to enhance online protections for children. The company is also testing a standalone app for its Siri voice assistant as part of a broader AI overhaul, with plans to unveil the new features at its upcoming Worldwide Developers Conference. These developments reflect Apple’s ongoing efforts to expand its product offerings and enhance user experience.
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