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Tag: Apple AI

  • Apple knows its smart features aren’t wowing iPhone fans

    Apple knows its smart features aren’t wowing iPhone fans

    Apple’s new smart features, called Apple Intelligence, rolled out with iOS 18, but they’re not convincing people to buy new iPhones. That’s what analyst Ming-Chi Kuo said recently. He also thinks Siri’s recent flops will hurt iPhone sales in 2025, and the market is starting to agree.

    Back in July, Kuo warned that hopes for Apple Intelligence boosting iPhone upgrades were too high. By January, he was even blunter, saying the excitement around these features had dropped a lot. Why? There was a big gap between Apple showing them off in June and their launch starting in October.

    Kuo still feels the same, especially after Apple delayed some key Siri upgrades tied to Apple Intelligence. These were promised for iOS 18 but got pushed back. According to Kuo, Apple already knows these smart tools aren’t impressing anyone. Because of this, the company gave its suppliers cautious shipment numbers for iPhones.

    Lately, people in the market are growing unsure about iPhone sales and Apple Intelligence, especially Siri. This matches Kuo’s earlier guesses. He says Apple’s low shipment predictions to suppliers earlier this year show they saw the weak response coming.

    The delays with Siri are also turning people off. This could hurt sales of the iPhone 16 and even the iPhone 17 soon. Last week, Apple admitted that some Siri features, like understanding personal details and working better with apps, won’t arrive until next year. The company didn’t expect fans and tech experts to be so upset about it.

    For example, John Gruber, a well-known Apple writer, recently shared a detailed piece pointing out Siri’s problems. Many agree with him, feeling Apple has struggled to make Siri better for a long time. Others have chimed in too, upset about the big promises Apple made last year about its smart Siri features—followed by delays that make people doubt Apple can keep up with rivals like OpenAI, Google, and Anthropic.

  • Apple’s new budget iPhone could boost sales with AI features

    Apple’s new budget iPhone could boost sales with AI features

    Apple is gearing up to launch a new budget-friendly iPhone next week that could significantly increase its popularity, thanks to the inclusion of Apple Intelligence. According to industry analyst Ming-Chi Kuo, this new model, potentially succeeding the iPhone SE 3, is expected to ship around 22 million units this year, outpacing previous entry-level iPhone sales.

    Kuo highlights several advantages for Apple with this new release. Firstly, launching an affordable iPhone between its flagship releases helps maintain sales momentum during typically slower periods. Secondly, by adding Apple Intelligence to a phone that’s cheaper than the premium iPhone 15 Pro and the upcoming iPhone 16 series, Apple can broaden the reach of its AI features. Thirdly, this model will debut Apple’s first self-developed modem, which will first be tested in this less high-stakes environment.

    This move to in-house modems still involves paying licensing fees to Qualcomm, due to their extensive patent holdings. The design of the new budget iPhone is rumored to mimic the iPhone 14, featuring a modern, flat-sided look, Face ID instead of Touch ID, and smaller bezels, though it will likely retain a single back camera.

    Apple has noted that areas where Apple Intelligence is available have seen increased iPhone sales, suggesting that consumers are eager for AI integration. However, regions without these features, like China, have not seen the same growth. Apple Intelligence is set to expand to more markets by this summer.

    The week’s big reveal will occur on Wednesday at Apple’s product launch event, where we might also see the iPad 11 with Apple Intelligence and the MacBook Air with the new M4 chip. This strategic move by Apple could reshape the market dynamics for budget smartphones, making advanced technology more accessible to a broader audience.

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  • Apple’s AI will boost iPhone sales, but not right away

    Apple’s AI will boost iPhone sales, but not right away

    Apple is gearing up to share its holiday sales figures, and everyone’s curious if its new AI features will spike iPhone sales. Here’s the deal: while the AI boost isn’t here yet, it’s definitely on its way.

    The iPhone 16 is Doing Well, But AI’s Big Moment is Coming

    Back in June, when Apple rolled out its AI features, experts predicted a boom in iPhone sales. They thought AI would push people to upgrade their phones faster than usual.

    When Apple last announced its earnings, the iPhone 16 had just hit the market, and the AI features weren’t fully live yet. Sales went up by 5%, which is good but not the massive jump some were hoping for.

    This Week’s Earnings Will Give Us a Better Look

    This week, we’ll get a clearer picture of how AI might be influencing sales. While Apple is set to report a solid quarter, iPhone sales are expected to be good but not groundbreaking. Remember, the iPhone is Apple’s star product. However, what investors really want to see is growth, and it might be a while before AI truly drives that.

    Hardware Upgrades Are Setting the Stage for AI

    Apple’s AI features need strong hardware to work well. Here’s what Apple has been doing:

    • All iPhone 16 models now come with 8GB of RAM, a feature once only in Pro models.
    • The next iPhone SE will have an AI-friendly chip and more RAM.
    • All new Macs now start with 16GB of RAM, likely due to AI demands.
    • Even the cheapest iPads are getting chips that support AI.

    Rumors are swirling about even better hardware for the iPhone 17, including 12GB of RAM and enhanced cooling systems. The upcoming A19 chip will probably bring some significant AI enhancements.

    Looking Forward to a Supercycle

    Right now, the current AI features aren’t pushing a massive wave of upgrades. But give it 2-3 years, and AI will likely be a major reason for people to switch to newer models. The advantages of Apple’s AI will become too compelling to ignore.

    In short, while we’re not seeing an AI-driven supercycle yet, it’s brewing. The combination of new hardware and software will soon make older iPhones feel outdated, setting the stage for a big sales surge.