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Apple’s iPhone AI debuts today. This is what you can expect
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Apple’s iPhone AI debuts today. This is what you can expect



CNN

Apple Intelligence was launched on Monday, but the rollout is just a glimpse of how Apple hopes to transform its products with artificial intelligence.

The tech giant unveiled the first features of Apple Intelligence – its suite of AI tools – on select devices with the latest software update for iPhones, iPads and Macs.

Apple’s AI features for iPhones will be available for free to users with an iPhone 16, iPhone 15 Pro, and Pro Max who update to iOS 18.1. Apple Intelligence is also available for iPad and Mac models that support iPadOS 18.1 and macOS Sequoia 15.

With Apple Intelligence, the company is rolling out its first wave of generative AI tools that aim to change the way people use their iPhones and strengthen Apple’s stake in the AI ​​race against competitors like Microsoft and Google. Generative AI is the technology that produces unique text and images in response to user queries – from obscure images to relentlessly catchy music.

The release of Apple Intelligence follows the iPhone 16 release in September, which features chip hardware designed to support Apple’s AI-powered features.

A move to AI has been a focus for Apple since it first unveiled its suite of Apple Intelligence features at its annual Worldwide Developers Conference in June. Implementing new generative AI is at the forefront of Big Tech’s ambitions to sustain exponential growth, and after years of sluggish sales, Apple is betting on AI to improve performance and reinvigorate its consumer base.

The Apple Intelligence features rolling out Monday include improvements to writing and editing, Siri and the Photos app.

Apple Intelligence’s writing tools provide users with enhanced proofreading, summarizing, and editing features. Another focus of the release is Siri, which should become “more natural and conversational” with Apple Intelligence, appearing as a glowing light when activated.

With the software update, Apple says the Photos app is “more intelligent,” with the ability to search for photos and videos by typing visual descriptions, such as what someone was wearing. Users can also edit photos and remove unwanted visual elements with another new feature called Clean Up.

Additionally, users can record and transcribe conversations, with Apple Intelligence providing a summary.

Users can record and transcribe audio in the Phone and Notes apps, and Apple Intelligence will summarize the transcript.

However, Apple Intelligence’s features probably fit into the “nice to have” category rather than the necessary features that most new phone buyers are actively looking for.

Angelo Zino, a technology analyst at CFRA Research, told CNN in September that “you’ll have to wait for word of mouth to trickle through the consumer base over the next few quarters” before consumers will see the value of the new technology.

And loyal Apple customers or AI-curious consumers who were intrigued by images of Apple’s new AI-generated “Genmoji” may feel disappointed by this launch, as many new features, such as Image Wand – which lets users turn sketches into AI-generated images – won’t be available until December, when iOS 18.2 debuts.

While the first wave of Apple Intelligence features may have some iPhone users wondering if that’s all there is to it, some analysts are optimistic about Apple’s plan to implement AI across its products, thanks in large part to the company’s large position in the market.

Dan Ives, director and senior equity analyst at Wedbush Securities, said in a note on Sunday that the rollout is the start of what will be an evolving process. “Consumer AI will ripple through Apple’s ecosystem in the coming years, with over 20% of the world’s population eventually interacting with AI on an Apple device,” Ives said.

Apple is investing heavily in AI to boost sales, and the rollout is following suit the iPhone 16 release, which initially didn’t sell as well as Apple had hoped. Apple is estimated to have sold just 37 million units in the first weekend of iPhone 16 pre-sales, down more than 12% from the same period last year, according to a blog post by Ming-Chi Kuo, an Apple analyst at TF International Securities.

Additionally, Apple recently cut orders for iPhone 16s by about 10 million units through the end of 2024 and into 2025, according to another blog post from Kuo. That cut will result in lower production of iPhones, he noted. According to Kuo, iPhone production for the fourth quarter of 2024 is now forecast at around 80 million, down year-over-year from 84 million.

Kuo noted that he didn’t think Apple Intelligence would immediately boost Apple’s prospects for better sales.

“Some market participants are optimistic that Apple Intelligence can dramatically increase iPhone shipments soon,” Kuo said in the blog post. “However, Apple’s recent order cuts suggest that this optimistic expectation may not materialize in the near term.”

The initial rollout of Apple Intelligence features is available on devices with language settings set to US English. The ability to use Apple Intelligence in other languages, such as French or Japanese, will roll out in 2025.

Customers queue at the Apple Store, Regent Street on September 20, 2024 in London, England. Following Apple's new product announcements, customers can pick up the new iPhone 16, 16 Plus, 16 Pro and 16 Pro Max, Apple Watch Series 10, AirPods 4, AirPods Pro 2 and AirPods Max from UK Apple Stores today.

A A wider range of AI features are expected in December when Apple introduces iOS 18.2, including ‘Genmoji’, a feature that lets users create their own emoji, along with ChatGPT-powered Siri and writing tools.

Apple also plans to introduce a “visual intelligence experience” that will allow iPhone 16 users to hold their iPhone camera over objects and retrieve real-time information.

Wedbush’s Ives said the implementation of Apple Intelligence will deliver positive long-term results for the company.

“This will be a multi-year AI journey that will define the future for Apple with its next-generation chip architecture, hardware releases and future iPhone models built around the AI ​​foundation that many consumers will eventually embrace,” Ives said in a note.

CFRA Research’s Zino said Apple’s December rollout should have more impact than the October release.

“We do not expect the Apple Intelligence capabilities introduced this week to have a significant impact on consumer behavior and sales of Apple-related products,” Zino said in an email to CNN. “The planned new Apple Intelligence features expected in December and early 2025 will, we believe, have much more impact on the company’s ecosystem and will be viewed favorably by Apple’s installed base.”

Apple (AAPL) will announce its quarterly results on Thursday. Apple shares closed Monday at $233.40, a gain of $1.99, or 0.86%.