Hello Finance Buddies! The internet is buzzing about Apple’s new AI reveal. On Monday, June 10, 2024, Apple (AAPL) was getting the spotlight at its Worldwide Developers Conference with its latest AI developments. So, what are the recent feature announcements and how do they affect the stock? Let’s dive into it!
Apple Stock Rose Before the Conference
The buzz around Apple’s new AI release had the company’s stock soaring before the event. A week before the conference, Apple shares rose 2.4% to $196.89, getting close to a buy point of $199.62, according to Investor’s Business Daily. Shares ended Friday at a 2024 closing high, up 2.2% for the year. Apple’s stock has jumped 20% from a 52-week low of $164.07 on April 19. This spike is mainly because of Apple’s plan to play a bigger role in generative AI.
Introducing “The Apple Intelligence”
Apple is calling its AI “Apple Intelligence.” It will use a mix of on-device and data center-based AI processing. Some new operating system features announced earlier use Apple Intelligence.
However, these AI features will only be available on the current iPhone 15 Pro models and the upcoming iPhone 16 handsets. That’s because they need more DRAM (Dynamic Random Access Memory). Apple Intelligence will also be available on newer Mac computers.
Apple Confirms OpenAI Deal
Apple has confirmed a deal with ChatGPT creator OpenAI to tap into broader expertise. They’ve integrated their own AI with ChatGPT’s technology and plan to support other AI models in the future. Apple’s efforts to integrate ChatGPT include clear indications that the company intends to address privacy concerns by ensuring users know when data is being shared and warning them about potential issues.
Siri Gets Smarter with Apple Intelligence
Apple showed how Apple Intelligence is making Siri smarter. The new Siri is “more natural, contextually relevant, and personal.” When Siri is active, the iPhone display’s borders glow, replacing the pulsating circle icon. Siri now better understands what users want and can be accessed through voice and text requests. Apple said new Siri features will roll out over the next year.
The new Siri works seamlessly between apps. For example, it can add appointments to your calendar from mentions in text messages and emails. Apple also demonstrated a feature called Rewrite, which can change the tone of an email to be professional, friendly, or concise. There’s also a proofreading feature.
How is the Stock Reacting?
Despite the exciting AI announcement, Apple’s stock is still in the red. After the event ends, Apple stock is down nearly 2%. On Sunday, UBS analyst David Vogt said his firm’s recent survey of over 7,500 smartphone users in the U.S., U.K., China, Germany, and Japan showed continued soft iPhone demand. The surveys also showed “muted” interest in AI smartphones due to their expected high price and concerns about personal privacy.
What do you think about this news? Are you excited about the recent introduction of Apple AI features?
So, Finance Buddies, that’s the discussion about the latest announcement from Apple and how the stock reacted to this news. Do you want to keep getting the latest updates in the financial world like this? Keep an eye on the Invlinic blog! There will be more information about financial planning, investment, trading, and the latest updates in the financial world.
