17.02.2023, 16:44

Here’s why Apple remains calm on AI and ChatGPT race

Here’s why Apple remains calm on AI and ChatGPT race
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With the explosion of chatbot AI ChatGPT, the tech giants like Google, Microsoft, Baidu or Alibaba are all urgently joining the artificial intelligence (AI) technology race. Meanwhile, Apple has remained silent about its AI development strategy.

During the first week of February, Microsoft and Google introduced and released AI-integrated products and services, respectively. Not only these two tech giants, Baidu, one of China’s largest technology companies, said it will complete an internal test of “Ernie Bot” next March, an AI chatbot which this search company has been researching and developing since 2019.

On February 8, Alibaba said that its research institute Damo Academy is also testing a tool like ChatGPT.

However, now, this race is posted in the absence of Apple. While Big Tech are all rushing to join the AI “craze”, Apple is almost silent and does not mention them.

According to Business Insider, Apple has long included AI in products like the iPhone’s camera, SOS features and Siri virtual assistant. CEO Tim Cook himself has said that AI “will affect every product and service we have”.

Currently, ChatGPT is expected to promote the strong development of AI. Analysts say Apple is running out of time to keep up with its competitors. “This is not an option for Apple because AI is a Big Tech race with an expected cost of up to $1 trillion over the next 10 years,” said Wedbush analyst Dan Ives. The announcements by Microsoft and Google will accelerate Apple’s development of AI strategies.”

Ives also pointed out that Apple has spent about $10 billion on AI research and development. He expects the company to make important announcements related to this technology when it announces new products this summer.

Even so, Apple is rarely known as the leader in AI and tends to wait until consumers start to demand certain technologies.

DA Davidson analyst Tom Forte thinks it’s not Apple’s style to directly announce a flashy AI product of its own. Instead, the company will integrate applications of this technology into the foundation of existing products.

“As one of the biggest companies in the world, Apple is definitely doing something with AI, but it won’t be as loud as ChatGPT. When Apple uses AI, they will do more to enhance their technology,” Forte shared.

At the same time, experts say Apple needs to improve a lot in AI. For example, Apple’s Siri voice assistant is often considered inferior to Amazon’s Alexa or Google Assistant. Or the Apple Watch’s SOS alert feature often sends out false alarms.

However, this is not the only problem that Apple needs to solve. Since 2021, Apple has faced quite serious supply chain problems when it had to delay the delivery of the iPhone 14 Pro. The diversification of supply chain processes will take decades, Apple said.

According to Business Insider, Apple’s goal is to convince people to use the design and ecosystem of products. But that may not be enough to convince investors.

“As an investor, I believe Apple is using AI in a variety of uses to enhance its existing technology. But AI isn’t the only reason consumers buy Apple products,” Forte said.

@CafeF