Apple has discussed using Nvidia's NVLink Fusion networking technology in a planned AI inference server powered by its own chips, marking a potential return to the server market, the Information reported on Wednesday.
The iPhone maker's shares, which traded lower earlier, reversed course and rose modestly in premarket trading.
Apple is developing an enterprise AI server for AI developers, businesses and governments that could come in versions featuring either two or four planned M8 Ultra chips, its highest-performance processors, the Information reported, citing people familiar with the matter.
The iPhone maker last sold dedicated server hardware under its Xserve line, which it discontinued in 2011 after shifting its enterprise focus to standard Mac hardware and consumer devices.
Apple has considered using NVLink Fusion to connect M8 chips in its planned AI server, which is not expected before 2029 and could still be canceled or launched without Nvidia technology, according to The Information.
Apple and Nvidia did not immediately respond to Reuters requests for comment. Reuters could not independently verify the report.
Relations between the two tech giants have been strained for nearly two decades, following an alleged defect in Nvidia graphics chips that caused widespread MacBook failures and led Apple to sever ties.
(Reporting by Anhata Rooprai and Akash Sriram in Bengaluru; Editing by Joyjeet Das)
