Apple cuts daily AI spending caps for some engineers to $200
Bloomberg reports further reductions may follow, with some teams facing limits as low as $100 per day under CEO John Ternus' cost-cutting push.
Apple has lowered the daily AI spending cap for some of its engineers to $200 from $300, and plans further cuts for some engineering teams that could bring the limit down to $100 per day, according to Bloomberg. The report, published on November 4, 2026, ties the move to cost-cutting efforts led by CEO John Ternus.
Many groups outside engineering already operate under a $100 daily cap, and Apple has considered reducing that to as little as $25 for some teams, Bloomberg reported. Employees who need a higher allowance can seek an exemption from senior leadership.
Staff have access to AI services including Anthropic's Claude, OpenAI's ChatGPT and Google's Gemini. Some teams are being encouraged to use cheaper models or models that run locally on their devices. Employee reactions to the new limits have been mixed, according to the report.
AI costs in focus after earnings
Earlier this week, Apple reported fiscal Q4 2026 earnings, with research and development expenses up 32% to $45.8 billion for the fiscal year, driven in part by higher infrastructure and AI costs.
The limits arrive after a period in which tokenmaxxing — tracking and maximizing AI token usage — became widespread in Silicon Valley over the past year, with companies such as Meta introducing internal leaderboards ranking employees by AI token usage. Recently, Accenture reportedly reduced its centrally funded Claude allowance to $29 per employee per month.
Bloomberg's Mark Gurman previously said Apple was heavily reliant on Anthropic's AI models for internal operations, describing the company as essentially "running on Anthropic." A few months before that, then-CEO Tim Cook encouraged employees at an all-hands meeting to make greater use of AI in their daily work.
Quick answers
How much can Apple engineers spend on AI per day now?
Some engineers now have a daily cap of $200, down from $300, according to Bloomberg. Apple plans further cuts for some engineering teams, potentially down to $100 per day.
Can Apple employees get a higher AI spending limit?
Yes. Employees who need higher allowances can seek exemptions from senior leadership, Bloomberg reported.
Which AI tools do Apple employees use?
Employees have access to Anthropic's Claude, OpenAI's ChatGPT and Google's Gemini. Some teams are being encouraged to use cheaper models or models that run locally on their devices.