Key Takeaways

Apple is cutting internal budgets as it seeks to avoid overspending on AI.

According to a new report, some Apple engineers have had their daily AI spending limits cut from $300 to $200.

Employees are divided, with some seeing the cuts as reasonable, while others worry they could signal broader cost reductions and layoffs.

Even Apple , the most valuable company in the world with a market capitalization of $4.98 trillion , is watching its AI bill .

The tech giant is tightening internal spending limits as it looks to cut costs, Bloomberg reported this week. Apple is reducing how much employees can spend on AI tools to lower costs while simultaneously working to make the technology central to its business .

Some Apple engineers saw their daily AI spending limits fall from $300 to $200 last month, per Bloomberg. The company is considering another reduction that could bring the allowance down to $100 a day for certain engineering groups.

Non-engineering teams also face steep cuts.…