Apple's AI Reveal: What to Expect from the Tech Giant's Upcoming Announcement

Published Date: 27/05/2024      

Apple is expected to make a major AI announcement at its Worldwide Developers Conference (WWDC) on June 10, with possibilities including a large-language model, cloud-based AI, and a chatbot

 Apple has been investing heavily in artificial intelligence (AI) technology, with CEO Tim Cook teasing "exciting things" to come. With its stock lagging behind other tech giants, Apple needs to make a big splash to convince investors it's not falling behind in the AI race.

The tech world is buzzing with anticipation as Apple's Worldwide Developers Conference (WWDC) approaches on June 10. CEO Tim Cook has been dropping hints about major AI announcements, and investors are eagerly awaiting what could be a game-changing reveal.

According to Bloomberg's Mark Gurman, Apple's AI strategy is three-pronged: an on-device large-language model (LLM), a cloud-based LLM, and a chatbot or two. Gurman expects Apple to use its own LLMs for devices and the cloud, while leveraging OpenAI's GPT-4 chatbot and possibly Alphabet's Google Gemini.

The New York Times recently reported that Apple will unveil major improvements to AI assistant Siri at the WWDC, incorporating new generative AI technology. Additionally, Apple is expected to announce iOS 18 with significant new AI functionality, including AI assistance in the Keynote and Pages apps, AI editing tools, and automatically generated Apple Music playlists.

While the possibilities are exciting, there are risks to consider for investors. Apple may not deliver its grand AI reveal at the WWDC, or the announcements could already be baked into the share price. Furthermore, Apple's new AI offerings could be underwhelming, causing its stock to take a hit.

Despite these risks, Apple's long-term prospects look promising. With over 2 billion devices in use worldwide, the tech giant is well-positioned to dominate edge AI – the use of AI on devices where data is created rather than in the cloud.

Apple is a leading technology company that designs, manufactures, and markets consumer electronics, computer software, and online services. Its products and services include the iPhone, Mac, iPad, Apple Watch, Apple TV, iOS, macOS, watchOS, and tvOS operating systems, and the iCloud cloud storage and cloud computing service.