Apple is weighing a big decision impacting the next iPhone release...
Apple is currently considering its options for bringing artificial intelligence (AI) to the next-generation iPhone. The tech giant is reportedly in discussions with both OpenAI and Google to incorporate generative AI into iOS 18, the upcoming iPhone operating system. According to a report by Bloomberg, Apple has yet to finalize its decision between ChatGPT, Gemini, or another third-party provider.
Exploring AI-Driven Features
Although Apple may incorporate AI-driven features based on its in-house large language model, Bloomberg suggests that the company is planning to collaborate with an established AI creator to introduce a chatbot similar to OpenAI's GPT model. Initial discussions between Apple and OpenAI took place earlier this year, but progress on the partnership has reportedly slowed down.
Tim Cook's Emphasis on AI
Apple's CEO, Tim Cook, has recently been vocal about the company's AI initiatives. In a statement made in February, Cook hinted at upcoming announcements regarding Apple's integration of AI technology across its product lines. He emphasized the importance of investing in technologies that will shape the future, including artificial intelligence.
Focus on AI Processor
Apple had previously disclosed plans to launch a new Mac lineup featuring M4 processors that are specifically designed for AI applications. This announcement caused a 4% surge in Apple's stock, despite facing regulatory scrutiny and an antitrust lawsuit filed by the DOJ. Analysts remain optimistic about Apple's performance in the market, anticipating positive outcomes from future AI announcements, iPhone upgrades, and the monetization of its user base.
"Our forest through the trees view on Apple is all about navigating this next 1-2 quarters and getting on to the other side of easier comps, AI announcement at WWDC, stronger upgrade cycle for iPhone 16, and the monetization opportunity of the golden installed base in Cupertino," noted analyst Dan Ives in his report.
Requests for comments from Apple, Google, and OpenAI on these developments have not been immediately addressed.
