I just wanted to make a huge mention of something that happened this week—namely, if you’re tracking stock or tech. Apple just inked a $500 million deal with MP Materials, an American rare earth mining company. And the instant that announcement became public, MP Materials’ stock went up 20%.
If you’ve never heard of MP Materials, that’s okay. What matters is why Apple is working with them—and how it could change the game for U.S. manufacturing and technology.
What’s in the deal?
Here’s what’s going on:
- Apple will start buying rare earth magnets directly from MP Materials.
- These magnets will be produced in Fort Worth, Texas, supporting domestic manufacturing.
- The two companies will also build a rare earth material recycling plant in Mountain Pass, California.
- They should start shipping these magnets in 2027.
Apple CEO Tim Cook said the reason for this is “supporting American innovation.” And frankly, it’s also about making sure Apple is no longer reliant on China for these precious materials.
Why are rare earth magnets so important?
Break it down: rare earth magnets are tiny, but they power big stuff — iPhones, laptops, electric vehicles, and even windmills. Your iPhone wouldn’t exist if it weren’t for them.
And right now, China dominates this business. The U.S. wants to turn that around on its head — yesterday. That’s where MP Materials enters the picture. They own the only rare earth mine in the U.S.
Apple expands U.S. supply chain
No coincidence. Apple has been bringing some of its operations back to the United States. In fact, the company recently announced that it’s investing more than $500 billion in U.S. manufacturing—including building a new facility for AI servers in Texas.
With Apple’s new partnership, the company isn’t merely purchasing the rare earth magnets — it’s also creating dozens of new positions for research and manufacturing.
MP materials is blazing hot now
MP Materials’ stock has nearly quadrupled since the beginning of the year. Just in one month, alone, it’s doubled again. That’s a huge shift for any company—let alone in the mining sector.
Even the Defense Department is getting a stake. It just bought $400 million of preferred stock, making it MP Materials’ largest shareholder. Clearly, it’s not merely a tech story — it’s also one about national security.
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What this means for you
If you’re investing, watching the supply chain, or just curious about tech and innovation in the U.S., this is a story to follow closely. Apple’s partnership with MP Materials is about a lot more than magnets. It’s about control, independence, and the future of how—and where—our devices are built.
Therefore, a basic lesson: MP Materials is not so much bored holes in the ground—they’re the focal point of one of Apple’s largest American bets to date.
