AI NewsApple is reportedly cutting budgets for its internal AI usage

Apple is reportedly cutting budgets for its internal AI usage

8:50 AM IST · November 5, 2026

Apple is cutting the daily amount its engineering teams can spend on AI, BloombergreportedWednesday. It’s a big change for a company that has workedto integratethe technology into its engineering processes. In October, Apple lowered the daily AI spending cap for its engineering teams, decreasing it from $300 to $200, the outlet reported. And more cuts are in the works, with some allowances falling to $100 a day, sources tell Bloomberg. Outside engineering, Apple is reportedly weighing a daily limit as low as $25 a day. TechCrunch has reached out to Apple for comment. Earlier this year, atsunami of tokenmaxxingtook hold, with companies pushing staff to use AI as much as possible in the name of vaguely defined efficiency gains. The frenzy was short-lived, however, as bills for said tokens came due, and companies decided that token rationing might be a more fiscally sensible approach. Concerns persistabout an apparent gap between what AI costs to build and run and the (often unclear) productivity gains the technology is suppose to generate.