Apple CEO Tim Cook has said that artificial intelligence (AI) will be at the heart of its business. But it’s curious that Tim Cook and Apple are keeping quiet in the big debate around ChatGPT and so-called generative artificial intelligence (AIGC).
The AIGC is being seen as the focus of a new AI race, with big tech companies also jumping into the fray, with Microsoft and Google releasing competing AI products last week. At the same time, many other companies began announcing plans to run products and services on some type of AI. Fueled by the hype surrounding OpenAI’s chatbot ChatGPT, the race has turned AI into the new battleground.
Notably, however, Apple was absent from the current debate. While all the big tech companies, including Amazon, seem to be scrambling to get in on the so-called AIGC craze, Apple has been quiet about the progress and future prospects in this field.
Apple has long been known for its use of AI technology, which powers the iPhone’s camera, the Apple Watch’s SOS feature, and virtual assistant Siri, among others. Cook himself has said that AI “will impact every product and service we have.”
But as ChatGPT fuels expectations for the future of AI, industry analysts say Apple is running out of time to prove it can keep up with rivals. They believe that this is related to Apple’s ability to remain competitive in a rapidly changing market.
“It’s not a multiple-choice question for Apple because AI is an arms race between the tech giants and there will be $1 trillion in the next decade,” said Dan Ives, an analyst at Wedbush Securities. Dollar spending. Announcements from Microsoft and Google will speed up progress on Apple and its AI strategy, leaving Apple with little time left.”
Ives noted that Apple has spent about $10 billion on research and development around AI, and expects to make some big AI-related announcements when the company unveils new products this summer. However, Apple is rarely considered a first mover in AI, preferring to wait until consumers start to demand certain technologies before making a move.
Apple has been working on AI for years, but DA Davidson analyst Tom Forte predicts it’s not in Apple’s style to launch its own big AI product. Instead, the company is more likely to use AI technology behind the scenes.
Ford explained: “As one of the largest technology companies in the world, Apple is doing a lot of things around AI, but it will not attract as much attention as ChatGPT. When Apple uses AI technology, they are more to enhance their own technology. “
Meanwhile, experts say Apple still has a lot of room for improvement in AI. As Apple’s first voice assistant, Siri is often seen as far behind Amazon’s Alexa or Google’s Assistant. The AI-powered SOS feature, which would allow the Apple Watch to call emergency services if it detects that the user has been in an accident or suffered heart failure, is also said to be prone to false positives.
Coming out with an interesting AI product isn’t the only problem Apple is pressing on right now. The company encountered supply chain problems in 2021, and the outbreak even prompted it to delay the delivery of the iPhone 14 Pro. Apple is trying to diversify its supply chain, but that could take decades.
Ultimately, Apple will have to diversify its focus. The company needs to make sure people know that it is working to integrate more AI technology into products, but it also has to make sure that supply chain issues are addressed. In other words, Apple has a lot going on right now.
One of Apple’s strengths is that people love its design and ecosystem. But that may not be enough to convince some investors. Apple needs to show that it’s thinking about an AI strategy, even if it hasn’t done it with much fanfare.
“As an investor, I prefer to believe that Apple is using AI in different areas to enhance its existing technology because AI is not the most important reason for consumers to buy Apple products,” Ford said.
