Selangor Journal
People attend the annual developer conference event at Apple’s headquarters in Cupertino, California, US on June 10, 2024. — Picture by REUTERS

Apple brings ChatGPT, more AI to devices but fails to impress Wall Street

SAN FRANCISCO, June 11 — Apple unveiled a long-awaited AI strategy yesterday, integrating its new ‘Apple Intelligence’ technology across its suite of apps including Siri and bringing OpenAI‘s chatbot ChatGPT to its devices.

In the nearly two-hour long presentation at Apple‘s annual developer conference, executives including CEO Tim Cook touted how voice assistant Siri would be able to interact with messages, emails, calendar, as well as third party apps. Siri will be able to write emails and change the tone of voice to suit the occasion.

Long known for a focus on user safety, the iPhone maker also signaled it plans to differentiate itself from rivals Microsoft and Google by placing privacy “at the core” of its features.

But Wall Street — looking for more dazzling AI features and reassurance that would put Apple in good standing to compete on AI with market-leader Microsoft — was lukewarm on the event. Apple shares closed down nearly 2 per cent.

Apple‘s stock, which trails those of other Big Tech firms this year, had rallied 13 per cent last month in the run-up to the event.

“There isn’t anything here that propels the brand ahead of its as-expected trajectory of incrementalism,” said Dipanjan Chatterjee, analyst at Forrester.

Apple Intelligence will indeed delight its users in small but meaningful ways, it brings Apple level with, but not head and shoulders above, where its peers are at.”

Apple‘s approach contrasts with the enterprise-first focus of its rivals. The company hopes these moves will convince its more than one billion users — most of whom are not tech aficionados — on the need for the nascent technology.

Apple executive Craig Federighi called Apple Intelligence as “AI for the rest of us”.

Apple still remains overly reliant on sales of the iPhone and some analysts said any boost from the new AI features was unlikely to materialise in the short term.

“In this early race, it feels that Alphabet, and even more so Microsoft, are in better shape following their initial moves and with thanks to their cloud assets,” said Paolo Pescatore, analyst and founder of PP Foresight.

The AI features announced at Apple‘s Worldwide Developers Conference will come with the latest operating system for its devices, which were also demonstrated at the event.

Apple uses the event at its Cupertino, California, headquarters each year to showcase updates to its own apps and operating systems as well as to show developers new tools they will be able to use in their apps.

The revamped Siri will have more control, helping it do what has proven tricky in the past because the assistant needed to understand the user’s exact intentions as well as how the app works.

Siri will also tap ChatGPT‘s expertise and seek permission from users before querying the OpenAI service as part of Apple‘s tie-up with the Microsoft-backed startup, a privacy feature that Apple emphasised.

But the tie-up immediately sparked questions over privacy.

Tesla CEO Elon Musk said on X that he would immediately ban Apple devices at his companies if the iPhone maker integrates the startup’s tech at the OS level.

The ChatGPT integration will be available later this year and other AI features will follow, Apple said, adding that the chatbot could be accessed for free and that users’ information will not be logged.

The company said it plans to release a paper on Monday detailing how its features, including those powered by OpenAI would ensure safety of customer data.

— Reuters

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