Apple cuts engineers’ internal AI budget from $300 to $200

Apple is reducing engineers’ daily internal AI budgets from $300 to $200 and plans further reductions to $100, Bloomberg reported today. Some non-engineering teams may see their daily allowances fall to $25, the report added.

In a post on Bluesky, Bloomberg’s Mark Gurman confirmed the figures: “Engineers have seen daily limits cut from $300 to $200, with further reductions to $100 planned. Other teams could see limits fall to $25.” Employees can request higher budgets on a per-use basis, according to AppleInsider.

The cuts come as Apple pushes employees to use AI more widely while attempting to control rising internal costs. Bloomberg reported that the reductions reflect a broader industry pullback as returns on AI investment have waned. Apple has already placed daily limits on customers’ Siri AI usage, and its overall R&D spending reached a record $45.77 billion. Which third-party AI services the daily budgets apply to and when the $100 limit will take effect remain unclear.