Apple Showcases AI Integration In Siri And Partnerships With OpenAI At WWDC 2024

JAKARTA - Apple is expected to show how they integrate artificial intelligence (AI) across its suite of software, including Siri's updated voice assistants. In addition, there is also a possible partnership with ChatGPT owner OpenAI at their annual developer conference on Monday, June 10

WWDC 2024 this time is more important than the previous event, as the iPhone maker is trying to convince investors that they haven't lost their AI rivalry with Microsoft, although they may have lost some laps.

Apple should show the majority of its more than 1 billion users who are mostly not tech experts why they need to use a new AI that has swept through Silicon Valley. "Apple will show something impressive," said Ryan Reith, an analyst at market research firm IDC. "If they succeed, the potential to attract consumers to AI is huge, as so far AI is more about the company."

Apple has been using AI behind the scenes for years to upgrade features on its devices, such as their watch capability to detect accidents and fall. However, they are reluctant to promote how this technology improves functionality on their devices, as Microsoft did with their initial bets on OpenAI.

Microsoft beat Apple as the world's largest company by market cap in January, and Apple's stock lags behind other major tech companies this year. The chip giant AI Nvidia also beat Apple last week as the world's second most valuable company. This is in the spotlight for some investors to see a change in power in the world of technology.

"Apple's initial inaccuracy of AI is in full accordance with its brand. The company is always known to be obsessed with what its product offers to customers, not how it works," said Forrester analyst, Dipanjan Chatterjee. "But then, the silence about AI is getting heard. All of that will change on June 10," he added.

Apple uses a developer conference at its headquarters in Cupertino, California, every year to showcase its own app and operating system updates and show developers new tools they can use in their apps.

Apple is expected to allow Siri to control many applications on behalf of users. This proves difficult because Siri needs to understand the user's intentions appropriately and also how the app works. For example, if the user asks Siri to delete the email, Siri needs to understand which email is meant and how it works at, for example, Microsoft Outlook or Gmail.

Apple tried to make Siri smarter in 2018 with a tool that would allow developers to pin the way for Siri to have more control, but little interest was shown. Now, Apple is expected to overhaul Siri's basic software with a generative AI. Media reports that Apple and OpenAI have reached an agreement to integrate ChatGPT maker technology into its next iPhone operating system, iOS 18.

Some Apple investors believe that this new AI feature will increase sales of new iPhones as companies face stiff competition in China and slower growth in the US. "This should translate into a cycle of strong hardware updates for Apple by 2025," said Dan Eye, head of investment at Fort Pitt Capital Group, which owns Apple shares. Eye estimates Apple will limit some of the AI features to older models to encourage people to buy newer phones.

Earlier this month, Apple launched a new AI-focused chip in their latest iPad Pro model and analysts expect the company to offer developers details on how they can use the chip's capabilities to support all new AI computing.

The company may also start talking about its cloud computing capabilities amid reports that Apple plans to use their own chips in its data center for the first time. Apple recently hired Sumit Gupta, a former Google and IBM executive working on the development of an AI data center in both companies.

By using their own chips for cloud services, Apple can launch advanced AI features that the device cannot handle alone, without requiring an expensive processor from Nvidia. The approach also retains many Apple privacy and security features embedded in their in-house chip designs.