Apple (AAPL) has reportedly signed a deal with OpenAI to incorporate its technology into iPhones. The companies are preparing to finalize the terms of a deal to include ChatGPT in iOS 18.
ChatGPT is among the leading artificial intelligence services. With iPhone sales falling last quarter, the partnership with OpenAI could be Apple’s latest move to innovate and increase sales on the iPhone.
For more expert insights and the latest market moves, click here and watch this entire episode of Morning Brief.
This article was written by Melanie Riehl.
video transcript
Apple has reportedly reached a deal with Open AI to incorporate its technology into iPhones.
This is according to Bloomberg.
The companies plan to finalize requirements to include Chat GP T in Apple’s next OSI S 18.
According to that report, a few things stand out here.
We see that Apple’s shares are up about 1%, so it’s outperforming the broader market early on in the WWGC.
Early next month.
What happened to Apple?
It’s been a year and a half since everyone started training AI.
But if there is anyone left behind, if you exist, we can talk about the existence of those left behind.
Apple is behind in this regard, but there were two things that caught my attention in this report.
What’s clear is that Apple and Google are such tight partners on search that Google isn’t part of this deal.
But you know, Apple is a technology company but it’s all about the brand, just like that.
Their branding, of course, last week’s ad and so on and so forth.
Chat is a GP T main A.I brand, so I know people will jump in and discuss it.
What?
The best technique I’ve talked to is, you know, the big language model, um, language learning model.
Great language learning model.
Anyway, we will discuss what is the best of these from a technical point of view.
But people on the street will probably talk about GP T chat when you say “ai” to anyone who gives you an answer other than “I don’t know.” And that’s a very strong brand to have at this stage of the cycle.
And that was the big picture takeaway for me here for Apple to think about a very sensible approach.
I think it makes sense that this is going to be very difficult, again, for Google, which is their search partner, and they’re trying really hard, and they’re going to try really hard to talk about all the AI stuff at their events this week.
But if Apple is like this, we’re kind of agnostic about whether an I actually works as if it doesn’t. I don’t know how much they care that your prompts and iMessage are good or that you even use them.
But if they want to come out and make noise, it makes sense at this stage of the game to act like we’re part of the conversation. G BT They are them.
Yes like that.
And I think that’s also the argument that many analysts made this morning and have been making ever since.
Reports about this started surfacing late last week, suggesting that perhaps what Apple needs to hit the big time will arrive here later this year, when the next iPhone arrives. If this is what it takes for people to finally upgrade their iPhones.
And I think that’s over now because I think the use cases, the personal use cases still need some development as I think. I really wonder how many people use Chat GP T not only on a daily basis. even on a weekly basis and whether some of that excitement will be enough for them to go out and spend $1200, $1300 on a new phone.
But I think it makes sense, because Apple has been largely criticized for not jumping more, I guess, more aggressively into A. I’ve been pushing late, so I think they could put in a little more. the fears there.
But secondly, I think beyond that, I think it makes sense that they’re teaming up with open AI like you, when you’re talking about a I, you’re saying with the chat GP T who owns the house.
If they’re looking for any kind of pressure, and I think they might come here, I mean, sometimes I think about family group messages, I wouldn’t be opposed to having an AI respond to that.
Yes, do I have to?
You know, IA is the equivalent of I, if someone sends a picture, you react to it from your heart.
I basically don’t accept this.
I do not care.
Looks nice.
I also liked this environment.
Okay, because I’m notorious for liking all kinds of messages, but especially things like family group chats.
You fire up an AI that you know is a cook.
Yes, but what if it’s text with a picture?
I really don’t care. If I care, I will answer.
I don’t care about most of the messages I get. So, you know, I don’t care about chatting with the GP.
So that’s why I’m not going to go and buy an iPhone.
I used to buy an iPhone because it stopped charging every couple of years.
That’s why I need to buy an iPhone.
But I think it has many benefits.
I don’t know.
I probably upgrade my iPhones every fourth time.
Will you use the Chat GP T sign?
Probably.
To be honest, it’s not very convenient.
Sometimes you don’t have to read every text, you know what I mean?
But he won’t make it.
It won’t be enough to just drop this emphasis and upgrade my phone, at least for now.
I’ve literally heard enough from you.
Let’s make it Chechen, but we’ll see