Apple Focuses On AI Features On IPhone 16, Ready To Challenge Global Market Domination

Apple launched the iPhone 16 with a major focus on artificial intelligence integration (AI) (photo: x @CodeByPoonam)

JAKARTA Apple on Monday 9 September is preparing to launch the iPhone 16 with a main focus on the integration of artificial intelligence (AI) that changes the way this device works. This is different from the previous approach that prioritized hardware upgrades.

The launch event took place at Apple Park headquarters at 10 am PDT (12.00 WIB in the morning), following an announcement at a developer conference last June, in which Apple introduced Apple Intelligence, an AI technology capable of producing text, images, and other content on demand.

Apple also introduced a new version of Siri's voice assistant, which is now integrated with ChatGPT, a chatbot developed by Microsoft-backed OpenAI. The launch of the iPhone 16 is expected to be able to tackle fierce competition, especially from Huawei in China, where consumers desperately want AI features and are ready to pay more for the technology. Huawei is scheduled to announce new products just hours after Apple's event.

Apple Intelligence must obtain approval from the Chinese government before launching on the market. In July, OpenAI blocked ChatGPT access in China, potentially affecting chatbot integration into Siri.

"China's market is more hungry for AI features than the US market," said Ben Bajarin, CEO and principal analyst at Creative Strategies. "It will be very difficult to bring it directly to China, so they will focus more on hardware excellence."

iPhone sales accounted for more than half of Apple's total revenue of US$383 billion (Rp5,927.4 trillion) last year, and this new device is an important update for Cupertino, California-based companies. Apple hopes the AI feature will encourage consumers to upgrade amid a decline in iPhone sales.

In China, Apple has previously cut prices aggressively due to government restrictions and increased domestic competition. The iPhone 16 line will be Apple's first smartphone specifically designed with the AI feature, although the feature will also be available on the iPhone 15 Pro and Pro Max, a premium version of the previous generation. The latest version of Apple Watch and AirPods is also expected to be introduced.

"The increase in the software side, and how Apple emphasizes it, is a big question," Bajarin said. "Investors will find out if this update is attractive enough to push the upgrade cycle bigger than usual."

Major competitors like Google also feature AI to try to challenge Apple's dominance in the high-end smartphone market. Google, which develops an Android operating system that competes with Apple's iOS, usually launches Pixel smartphones in the fall, but this year the event was accelerated to August before Apple's announcement.

Google emphasizes on AI features including Gemini Live, which allows users to have direct voice conversations with digital assistants. Many AI features announced by Google are also applied to Android-based devices from manufacturers such as Samsung and Motorola.

"The question is who will be the first to combine a truly personal AI assistant with accurate and personalized information," said Bob O'Donnell, TECHnalysis Research's lead analyst.

To date, Apple has only shared an Apple Intelligence launch timeline in the United States, which is slated for release in the fall for compatible devices. In June, one week after the developer's conference, Apple announced its launch delay in Europe due to EU technology rules.