Apple’s (AAPL) stock fell 2% after the company unveiled details of its long-awaited artificial intelligence (A.I.) strategy at its developer conference.
Calling the strategy “Apple Intelligence,” Chief Executive Officer (CEO) Tim Cook announced a revamped Siri digital assistant and the addition of OpenAI's ChatGPT to future iPhones.
Going forward, Siri will be able to interact with messages, emails, calendars, as well as third party apps. Siri will also be able to write emails and change its tone of voice.
Analysts and investors seemed unimpressed by the announcements that wee made at the event, sending Apple stock down 2%. The stock had rallied 13% leading into the A.I. launch.
The main criticism is that Apple's approach focuses on consumers rather than the enterprise focus of its technology rivals.
Apple executives referred to the company’s strategy as “A.I. for the rest of us.”
The company clearly hopes that its new A.I. features will convince its more than 1 billion users to upgrade to the next generation of iPhones.
Apple continues to get half of its annual revenue from iPhone sales, although they have been slipping amid rising competition in key markets such as China.
The A.I. features announced at Apple's Worldwide Developers Conference will come with the company’s newest operating system for its devices, which were demonstrated at the event.
The revamped Siri assistant will also tap ChatGPT's A.I. expertise and seek permission from users before using the OpenAI technology.
The new A.I. features will only be available on the latest iPhones, starting with the iPhone 15 Pro as well as future models, requiring consumers to upgrade to get the benefits.
Separately, Apple announced that its mixed-reality headset, the Vision Pro, will become available in eight more countries including China and Japan.
The stock of Apple has risen 5% over the last 12 months to trade at $193.12 U.S. per share.
