Apple's AI push may boost iPhone sales as customers look to upgrade

Apple's AI push may boost iPhone sales as customers look to upgrade



Apple’s developer conference on Monday was about more than infusing its software with the latest artificial intelligence technology, including from ChatGPT.

 


It was also about selling more iPhones.

 


Facing choppy consumer spending and resurgent tech rivals, Apple has looked to AI as a way to invigorate its loyal fan base of more than 1 billion customers and to reverse a sales decline for its biggest-selling product.

 


The software, which requires at least an iPhone 15 Pro or Pro Max to operate, may encourage a cascade of new purchases, several analysts said. Some predicted the biggest upgrade cycle come autumn since Apple’s release of the iPhone 12 in 2020, which drew consumers in part through 5G connectivity.

 


“What we saw today was more compelling than anything we’ve seen since,” analyst Gil Luria of D.A. Davidson said.

 


The company showcased what it called Apple Intelligence, its take on generative AI that can conjure text, images and other content on command.

 


Apple demonstrated how its AI could generate custom emojis, a cartoon to text friends or edits making an email sound more professional. Its digital aide Siri could prompt users if they wanted ChatGPT’s help too.

 


Some analysts voiced skepticism, predicting consumers would not race to Apple stores to get more AI on their phones.

 


“Perhaps there may be enough in the new and improved Siri-powered, intelligently Apple devices to stanch some of the device revenue that’s been hemorrhaging lately, but there isn’t enough to create a new band of followers,” said Forrester analyst Dipanjan Chatterjee.

 

Tejas Dessai of Global X added, “Investors clearly want a more comprehensive and ambitious strategy from Apple when it comes to AI.” The company’s stock fell 2 per cent on the news.

 Upgrade to AI


Like them or not, Apple’s AI features won’t come to every iPhone.

 


The company said smartphone customers have to upgrade to the iPhone 15 Pro or Pro Max that Apple began selling in September 2023. The AI, built so it can process data privately on a user’s device, depends on chips in Apple’s newer smartphones.

 


In Wedbush Securities analyst Dan Ives’ view, that represents a big opportunity. He estimated some 270 million iPhones had not been upgraded in four years.

 


“We estimate 15 per cent+ of the Apple installed base will upgrade to iPhone 16 as Apple Intelligence is the killer app many have been waiting for,” Ives said.

 


The iPhone 16 release is expected sometime this autumn.

 


Gene Munster, a managing partner at Deepwater Asset Management, said another feather in Apple’s cap was its easy-to-use integration with ChatGPT. “They’re really taking the friction out of using AI,” he said.

 


Apple’s iPhone revenue for its fiscal year that ended in September 2023 was $200.6 billion, down from $205.5 billion the prior year, the company’s latest annual report showed.

 


Still, AI is just a part of Apple’s draw to consumers. They may primarily want a bigger iPhone display or better camera, but the AI updates would appeal to early adopters and stand apart for their ability to take actions in and across apps, said Martin Yang of Oppenheimer & Co.

 

“That action part will make Apple an immediate leader in consumer AI,” Yang said.


(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Jun 11 2024 | 9:22 AM IST



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WWDC 2024 highlights and key takeaways: Summary of important announcements

WWDC 2024 highlights and key takeaways: Summary of important announcements


At WWDC 2024, Apple announced significant updates across its entire product lineup, focusing on enhancing user experience, privacy, and ecosystem integration. Moreover, the US-based technology giant revamped its digital assistant Siri with more capabilities powered by artificial intelligence and machine learning. Lastly, Apple debuted its personal intelligence system called Apple Intelligence, which leverages generative models for personalised interactions and integrates ChatGPT for advanced content generation. Here are key takeaways from Apple’s WWDC 2024 keynote address.


visionOS 2 for Vision Pro


visionOS 2 is a significant update for Apple Vision Pro, introducing several new features:


  • Spatial Photos Experience: Enhances the immersive experience with support for spatial photos.

  • New Gestures: Adds support for new gestures, improving interaction.

  • SharePlay in Photos App: Allows spatial personas to engage with shared photos.

  • Travel Mode: Includes train support for a better travel experience.

  • Higher Display Resolution: Later this year, Vision Pro will support a resolution equivalent to two 4K displays.


The new features in iOS 18 focus on customisation, communication, and security:


  • Home Screen: Apps and widgets can now be relocated, and the home screen supports customisable colours and new app icons in dark mode.

  • Control Centre: Introduces a new group of controls accessible with a swipe-up gesture, showing connected home devices and allowing for quick control customisation. Controls are also accessible from the lock screen, and the Action Button can invoke these controls.

  • App Lock: Independent app locking, with hidden apps placed in a secure folder.

  • Messages: Includes RCS messaging support, emoji and sticker tapbacks, scheduled messages, text formatting, integrated text effects, and satellite messaging for iPhone 14 and later models.

  • Mail: On-device categorisation of emails into primary, transactions, updates, and promotions (coming later this year).

  • Game mode: Mac’s game mode is coming to the iPhone.

  • Photos: A comprehensive redesign simplifies accessing memories and organising photos, with built-in intelligence for creating collections.

  • Audio: Siri supports gestures such as nodding, voice isolation for AirPods Pro, and personalised spatial audio for gaming, with “Need for Speed Mobile” as the first title to support this feature – coming later this year.

  • TV: Apple TV Plus gains an insight feature similar to Prime Video’s in-screen option and support for 21:9 format projectors.


watchOS 11 for Watch Series


watchOS 11 introduces several new features aimed at enhancing health and usability:


  • Training Load: Tailored for enthusiasts and athletes.

  • Vitals App: A new app to view vital health metrics quickly.

  • Cycle Tracking: Enhanced with pregnancy tracking features.

  • Smart Stacks: Automatically adds widgets like weather and translation.

  • Check-In: A new feature coming to the Apple Watch.


iPadOS 18 for iPad


The updates in iPadOS 18 focus on productivity and ease of use:


  • Floating Tab Bar: Customisable and movable into a sidebar.

  • SharePlay: Allows remote control of someone else’s iPad.

  • Calculator App: Finally coming to the iPad, with Apple Pencil support.

  • Smart Script in Notes App: Improves handwriting using on-device machine learning, making it smoother and more legible. Pasted text appears in handwritten notes format, with support for spell check, text wrap, and copy/paste functions.


macOS Sequoia for Macs


macOS Sequoia enhances the continuity within the Apple ecosystem:


  • Wireless iPhone Mirroring: See and control your iPhone remotely using a Mac. Notifications and audio are redirected to the Mac, with mirroring supported even when the iPhone is locked. Drag-and-drop functionality is included.

  • Tile Position: Facilitates quick placement of windows side by side, akin to Windows.

  • Background Replacements: Available for FaceTime and Zoom.

  • Passwords App: Coming to Mac, iPad, iPhone, and Windows.


Safari


Safari continues to lead with a focus on speed, privacy, and user experience:


  • Highlights Feature: Uses machine learning to detect and present interesting content.

  • Reader Mode: Now includes summaries and table of contents.

  • Viewer: Brings videos front and centre with system video controls.


Apple Intelligence


Apple introduces a new personal intelligence system:


  • Generative Models: Designed with privacy in mind, capable of prioritising notifications, summarising content, and generating images using photos from the library.

  • Personalised Actions: Across apps and Apple devices, powered by on-device intelligence available on A17 Pro and Apple Silicon from M1 chip onwards.

  • Private Cloud Compute: For specialised processing that needs cloud support.


Revamped Siri


Siri receives significant enhancements:


  • Natural Interaction: Redesigned for more natural, relevant, and personal interactions.

  • Visual Redesign: A new wake visual that glows around the device display.

  • Text Input Support: Similar to other AI chatbots, with on-screen awareness.

  • Contextual Actions: Drives context from personal content such as photos, messages, calendar events, etc.

  • Rewriting Tool: Helps write specialised content with context awareness.

  • Smart Reply: For quick replies.

  • ChatGPT Integration: For content generation, coming later this year, with user permission required to send information to ChatGPT.

First Published: Jun 11 2024 | 8:00 AM IST



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Apple debuts long-awaited AI tools, including ChatGPT tie-up at WWDC

Apple debuts long-awaited AI tools, including ChatGPT tie-up at WWDC



By Mark Gurman

 


Apple Inc. took the wraps off long-awaited new artificial intelligence features, including a partnership with ChatGPT maker OpenAI, betting that a personalized and understated approach to the technology will win over customers.

 


A new AI platform called Apple Intelligence was the highlight of the company’s Worldwide Developers Conference presentation on Monday, which also included updates to the iPhone maker’s operating systems. The technology will help summarise text, create original images and retrieve the most relevant data when users need it. The push also includes a revamped version of Siri, the company’s once-pioneering digital assistant. 


Apple is making a high-stakes bid to catch up with rivals in the booming AI market. After falling behind tech peers like Alphabet Inc.’s Google and Microsoft Corp., the company is counting on a streamlined interface — and loyal customer base — to regain ground.


“This is a moment we’ve been working toward for a long time,” Senior Vice President Craig Federighi, who oversees software engineering, said at the event. He described Apple Intelligence as “AI for the rest of us,” alluding to an old slogan about the Mac computer.


The partnership with OpenAI, which Bloomberg reported on before the event, will let customers access ChatGPT via Siri at no extra cost. Apple Intelligence will begin rolling out later this year, but some features — including the ability for Siri to precisely control features within apps — won’t come until next year. Support for languages beyond English also won’t arrive until later. 


OpenAI Chief Executive Officer Sam Altman was at Monday’s event and wrote on the social media site X that he was “very happy” to be teaming up with Apple. While the ChatGPT integration will be free, paid subscribers to OpenAI will get additional features over time. Apple, which has also held talks with Google about using that company’s Gemini feature, said it plans to support other services later.


Ensuring that customer data is secure was a major theme of the presentation. A system called Private Cloud Compute will help keep users’ information safe when it’s being sent to data centers, Federighi said. Apple Intelligence will also support AI-created emoji called Genmoji and automated photo editing.


Apple’s iOS 18 and iPadOS — its iPhone and iPad software — will get features that improve customization, productivity and communication. Some additions will include: 


  • An upgraded home screen will let users place icons anywhere. App icon colors can also be changed, and they can be tinted when the device is placed in dark mode.

  • A new Control Center includes support for third-party controls, multiple pages of settings and an updated look.

  • The iPhone 14 and more recent models will get support for text messaging via satellites. That was previously available in emergency situations.

  • The Messages app will have the ability to schedule a text to be sent later. The Tapbacks feature, which lets users quickly respond to texts with things like a heart or question mark, will now work with an emoji or digital sticker.

  • Customers can set up effects — such as a shaking word — for individual words and phrases, rather than entire texts. And there’s rich text support, which will make it easier for Apple customers to communicate with Android users.

  • A Passwords app will manage secure logins, passkeys and Wi-Fi account details.

  • A redesigned Photos app will use artificial intelligence to improve editing.

  • There’s the ability to lock any app behind Face ID.

  • The iPad gets the Calculator app for the first time, and it will let people solve handwritten math equations using an Apple Pencil. That app’s absence from the iPad was a longstanding issue among customers, and the new feature was announced to applause at Monday’s event.


Investors gave a tepid reaction to the event — a not-uncommon reaction when Apple debuts long-anticipated new features. The shares fell almost 2 per cent to $193.12 in New York, leaving the stock little changed for the year. 


The Cupertino, California-based company also rolled out macOS Sequoia, which includes the same Apple Intelligence features as the iPad and iPhone. 


Some of its other enhancements:


  • The ability to receive and interact with iPhone notifications.

  • The ability to drag and drop files between devices.

  • Mirroring an iPhone’s display so it can be used on a Mac’s screen.

  • The ability to organize Mac application windows as tiles that stick to different portions of the display.


And the company unveiled visionOS 2, the latest version of its software for the Vision Pro headset. That has new features for photos and handling office work, including: 


  • The ability to turn regular photos into 3D spatial pictures.

  • New hand gestures for opening the Home View and Control Center.

  • A new version of the Mac Virtual Display feature that can create a virtual wraparound screen.

  • The ability to AirPlay content from an iPhone, iPad or Mac into the Vision Pro.

     


Apple also announced plans to launch the Vision Pro internationally, with preorders beginning in China, Hong Kong, Japan and Singapore on June 13. The device will go on sale in those areas June 28. That will be followed by Australia, Canada, France, Germany and the UK. Preorders will begin in those countries June 28, and sales will start July 12.

New AirPods software, meanwhile, will make it easier to hear users’ voices during a phone call by removing background noise.

The Apple Watch will get additional health capabilities, such as enhanced pregnancy tracking and an app that shows at-a-glance vital statistics.


But the AI features were the biggest focus of the event. Those tools will also include the ability to transcribe phone calls and voice memos, solve advanced math equations, sort through email, and prioritise notifications.


Though Apple had an early lead in AI after it launched Siri in 2011, its technology was quickly overtaken by the Google Assistant and Amazon.com Inc.’s Alexa. Then AI took another giant leap forward when OpenAI’s ChatGPT arrived at the end of 2022.


That led to a flurry of other services, including ones from Google, Microsoft and Meta Platforms Inc. Samsung Electronics Co. — Apple’s biggest smartphone rival — also integrated Google AI features into its devices earlier this year.


Apple CEO Tim Cook is now under pressure to show that the iPhone maker can lead again. The company also is contending with a broader sales slump. Revenue declined in five of the past six quarters in the face of sluggish smartphone demand and a slowdown in China.


On Monday, Cook said AI would be “the next big step for Apple.” Though the company won’t make money directly on the new features, the hope is to make users more loyal and prod them to upgrade more frequently.


“We think Apple Intelligence is going to be indispensable to the products that already play such an integral role in our lives,” he said.

First Published: Jun 11 2024 | 7:50 AM IST



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Apple Intelligence: What is it and what it brings to iPhone, iPad, and Mac

Apple Intelligence: What is it and what it brings to iPhone, iPad, and Mac


Apple Intelligence (Source: Apple)

Apple introduced its own Apple Intelligence at the Worldwide Developers Conference (WWDC) 2024. Apple Intelligence is a personal intelligence system for iPhone, iPad, and Mac, with an enhanced focus on understanding personal context. This new system will be integrated into iOS 18, iPadOS 18, and macOS Sequoia.

Reaffirming its commitment to privacy, Apple also introduced Private Cloud Compute, which has the “ability to flex and scale computational capacity between on-device processing and larger, server-based models that run on dedicated Apple silicon servers.”


Apple Intelligence: What it brings to the table


Writing tools


The systemwide “Writing Tools” feature enhances users’ writing capabilities across Mail, Notes, Pages, and third-party apps. Users can rewrite, proofread, and summarise text, tailoring the tone and style to fit various contexts and audiences.


Mail enhancements


In Mail, Priority Messages and email summaries simplify email management. Smart Reply and question identification ensure quick and comprehensive responses.


Notifications and Focus


Using intelligence, notifications have been refined to prioritise importance and provide summaries. The new “Reduce Interruptions” Focus mode surfaces only the most critical notifications.


Notes and Phone Apps


Users can now record, transcribe, and summarise audio in the Notes and Phone apps, with automatic notification of call participants during recording.


Image Creation with Image Playground


Image Playground introduces a fun and quick way to create images in various styles, such as Animation, Illustration, or Sketch. It’s accessible within Messages and other apps.


Genmoji: A New Level of Emoji


Users can create personalised Genmoji to express themselves in messages, adding a new dimension to digital communication.


Enhanced Photo and Video Search


Apple Intelligence enables natural language searches for photos and videos, making it easier to find specific moments or objects.


Memories with Narrative Arc


The Memories feature now crafts stories with narrative arcs based on user descriptions, utilising language and image understanding to select the best content.


Siri’s Advanced Capabilities


Siri has been upgraded with richer language understanding, becoming more natural and contextually relevant. It can now support users with device-related queries and actions.


ChatGPT Integration


Apple is integrating ChatGPT into its platforms, allowing users to leverage its expertise and content generation capabilities while maintaining privacy.


Availability


Apple Intelligence will be available in beta this fall, with full availability on select devices set for US English. Additional features and languages will follow.


Compatibility


Devices powered by Apple A17 Pro and M1 chip and later.

First Published: Jun 11 2024 | 7:45 AM IST



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Apple WWDC 2024 keynote: AI, iOS 18, revamped Siri, and more announced

Apple WWDC 2024 keynote: AI, iOS 18, revamped Siri, and more announced


Apple has concluded the WWDC 2024’s keynote address with big announcements related to platforms, intelligence, and OpenAI partnership. The US-based technology giant has announced iOS 18, iPadOS 18, watchOS 11, and macOS Sequoia – its next-generation platforms for iPhone, iPad, Watch Series, and Macs. These are now available in developers preview and public preview in beta is scheduled to commence from July. In line with the anticipation, the US-based technology giant announced Apple Intelligence, its suite of artificial intelligence and machine learning powered tools and features designed for iPhone, iPad, and Mac.


Apple Intelligence


Apple Intelligence is designed with privacy at its core. This system leverages generative models to enhance user interactions across Apple devices. Apple Intelligence can prioritise notifications, summarise content, and even generate images from the user’s photo library. Its capabilities extend to taking actions across various apps and devices, powered by on-device intelligence available on A17 Pro and Apple Silicon starting from the M1 chip. Additionally, Apple introduces “Private Cloud Compute” powered by its silicon for specialised processing tasks requiring cloud support. Later this year, Apple Intelligence will include ChatGPT integration, enabling advanced content generation while ensuring user consent for data sharing. This integration marks a significant step in making technology more personalised and efficient.


Apple platforms


The iOS 18, iPadOS 18, watchOS 11, and macOS Sequoia introduced a range of enhancements aimed at improving usability, customisation, and integration within the Apple ecosystem.


iOS 18 offers a more customisable home screen with relocatable apps and widgets, new dark mode icons, and a revamped Control Centre. Messaging is enhanced with RCS support, scheduling, and satellite messaging for newer iPhones, while the Photos app undergoes its biggest redesign.


iPadOS 18 introduces a floating tab bar, remote control via SharePlay, and handwriting improvements in the Notes app.


watchOS 11 adds new health-focused features, including training load metrics and enhanced cycle tracking, alongside smart stacks for automatic widget management.


macOS Sequoia boosts ecosystem continuity with wireless iPhone mirroring, improved window management, and integrated background replacements for video calls.


Revamped Siri


The revamped Siri features significant advancements designed to enhance its natural interaction and contextual awareness. Soon, Siri will support more natural and personalised interactions, including a redesigned visual wake indicator that glows around the device display. Text input functionality has been added, allowing users to interact with Siri similarly to other AI chatbots. Siri’s capabilities have expanded to include on-screen awareness and the ability to perform contextual actions based on personal content such as photos, messages, and calendar events. The integration of ChatGPT, planned for later this year, will further enable advanced content generation while ensuring user consent for data sharing, making Siri more responsive and relevant to individual user needs.

First Published: Jun 11 2024 | 7:30 AM IST



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