The AI dark horse: Why Apple could win the next evolution of the AI arms race

Apple's loudest critics say the tech giant is playing catch up in the AI race. They blaming its underperformance last year, at least compared to its megacap tech peers like Nvidia, Amazon, Microsoft and Google, on its lack of a clear generative AI strategy. But long-term, Apple could be the dark horse to watch for, especially in the next technological shift that experts say is coming to gen AI. Its vertical integration of hardware, software, silicon and services gives it an edge. This week on TechCheck, why Apple could be playing the long game better than anyone else.

[dominic]

“Apple may be quiet on AI, but it’s also the biggest buyer of AI companies.”

The power of silence in a noisy world.

[Redwood]

I recently sold some of my Nvidia stocks to secure profits, but I'm retaining a portion for the long term, its growth potential is robust. I'm also considering diversifying my $400K stock portfolio, but I'm uncertain about managing risks in my next move.

[RichflixInc]

Finally a news segment that actually educates and doesn't spread fear or negativity. Thank you CNBC ❤

[hongyu_he]

As a prior intern, I respect that Apple always puts user privacy and data security in front of the potential revenue brought by the AI hype. 🔐

[blairfullerton]

2:36 Bob Pisani trying to say assistant, then just moving on, is the best part of this video 😂

[themusic]

They’ll be just fine. I am sure Tim Cook & co aren’t sitting around Apple Park fretting that they can’t come up with a new product that will be innovative using artificial intelligence lol They’ve always been the company to sit in the background while everyone else races to be first, then work out the issues on technology that’s been introduced prematurely and do it better themselves.

[BDOT]

This is common for Apple let the competition figure it out then make it “better”

[d]

Honestly the best use of AI in Apple for me has been the ability to search photos and videos for specific text or content on my iPhone. As someone who doesn't organize their photos app it's really been a godsend for me ngl and something like that on windows would be crazy

[nantonlc]

Apple has said over and over that ML (otherwise known as AI elsewhere) is woven into their apps. The camera has been doing so for years and is getting better over time. It’s in the AirPods. It’s embedded in the Apple silicon (the neutral engine that’s getting a bigger and bigger chunk of the transistors on race generation of chips) where they are running more and more of their ML stuff.

I am intrigued by what they have done so far and look forward to how they continue to weave it throughout the operating system and applications. A true assistant is being born.

[NormenHansen]

Apples advantage is that they have an ecosystem that allows the AI to actually do something. Almost all the base software you use on iOS and Mac is from Apple. Combine that through an AI (as Siri already does to some extent) and you get actual added value instead of a talkbot.

[CavingMonkey]

As someone working on research on AI and edge, it's a decent article on the subject without the crazy hype. Well done CNBC!

[garycard]

Good review but the annoying (so called) music is very distracting. It's hard to hear what is being said and we're listening on a hi-end stereo so I can't imagine what it would be like on lesser sound systems!

[RelaxTake]

Apple is never first to the market. But they are usually the best at anything they do. Why is anyone surprised they are “lagging” in A.I

[ayo]

A LOT of people don't actually know what AI is. Its not just LLMs and chatbots!

[MatthewBrandon]

I think the lack of focus on Siri upgrades and the coming visionOS are signaling that Apple has something big coming to replace Siri. It would seem illogical for them to not as it would seriously impact all sales.

[Tehnologicus]

AI is being used in Apple devices and apps for some years already, just like other companies. People are hyped today about the LLMs & generative AI wave, and this is creating a lot of confusion and missunderstanding. Also we know that they are prepared to launch something when they are indeed ready to do so to strive and be the best. So if people are waiting for an Apple proprietary generetive AI system, probably they will have to wait a bit as this is still very new, unstable, and not very clear in terms of use cases.

[PrashantGijare]

Apple always lets others run with things first, learn from their experiments, failures and then Bam! This is evident from the mp3 player, tabs, virtual reality

[marcusof]

They seem disappointed that Apple is not leading in this area

[tanutchankasem]

Apple’s unique blend of technology, ecosystem, and commitment to privacy could be their ace in AI. Apple’s ecosystem - with its interconnected services like iCloud, Apple Music, and the Health app - creates an ideal foundation for deeply integrated AI experiences. For instance, take Steve, a user who journals his daily activities and mood on his iPhone. Apple’s AI, respecting his privacy, could analyze this data on-device to understand his stress patterns. After a challenging day, the AI, noticing his mood log, could suggest a run. During the run, using real-time data from his Apple Watch, the AI could offer personalized encouragement, ‘Your resilience in work projects is just like your strength in these runs, Steve. Keep pushing!’ and even play his favorite uplifting songs from Apple Music. This scenario showcases Apple’s potential to leverage its technology and ecosystem to offer not just privacy-centric AI solutions, but also deeply personalized and meaningful user experiences.

[petar]

I don't know if the quiet game works for Apple. That apple car took 10 years to be just a dream