Apple To Reportedly Invest $500M Into US Rare Earths Supplier MP Materials

Apple Inc. (AAPL) is reportedly planning a $500 million investment in MP Materials Corp. (MP), a strategic push to boost U.S.-based rare earth magnet production critical to both advanced electronics and military applications.

According to a report from Fox Business cited by Reuters, the funding would support MP Materials, the sole operator of a rare earths mine in the U.S., as it expands its footprint in strategic materials.

Following the report, Apple stock inched 0.2% higher in Tuesday’s premarket while MP Materials stock surged 9.8%.

The agreement also reportedly includes Apple agreeing to buy magnets manufactured at MP Materials' Texas location. This development comes on the heels of MP’s multibillion-dollar arrangement with the U.S. government aimed at expanding domestic rare earth production and cutting back on dependency on China.

As a part of its deal with the government, MP Materials will build a second domestic magnet production facility, dubbed the “10X Facility,” expected to begin commissioning in 2028. Once operational, this expansion will raise the company’s U.S. rare earth magnet output to around 10,000 metric tons per year.

MP Materials, based in Las Vegas, has already been mining and refining rare earths and expects to begin magnet production in Texas by year’s end.

Apple’s collaboration with the rare earths company marks a major step in the tech giant’s effort to secure a more resilient domestic supply chain for the essential components used in everything from iPhones to defense systems. 

On Stocktwits, retail sentiment around Apple remained in ‘bullish’ territory and that of MP Materials stayed in ‘extremely bullish’ territory as compared to a day ago.

Also See: CoreWeave Makes Bold $6B Bet On AI Infrastructure In Pennsylvania, Stock Rockets Pre-Market

For updates and corrections, email newsroom[at]stocktwits[dot]com.