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17 June 2025

Apple’s AI Strategy Faces Growing Doubts – Analysis

Xia Ri

Apple recently hosted WWDC25, its annual Worldwide Developers Conference. As one of the most anticipated tech events each year, WWDC has long served as a key stage for Apple to unveil its latest technologies and innovations. In 2023, the company debuted the Vision Pro; in 2024, it made headlines with the introduction of Apple Intelligence, its AI system. A major question for WWDC25 is, can Apple truly redefine what we expect from AI?

It turns out that the outcome did not bring many surprises. As many in the industry had predicted, Apple’s AI-related announcements were not particularly groundbreaking. The long-awaited upgrade to Siri has yet to materialize. Craig Federighi, Apple’s senior vice president of software engineering, explained that more time is needed for the technology to meet the company’s standards. As for the new features introduced, they were relatively modest. While Apple did unveil tools like real-time translation and visual intelligence, such functions are already common in products from other tech companies. Moreover, Apple’s real-time translation currently supports only a limited number of languages, such as English, French, and German.

All in all, Apple’s shortcomings in AI development are closely tied to its overall AI strategy.

ANBOUND’s founder Kung Chan pointed out that AI is not just a mere concept but a complex strategic issue. If it is done right, all other things will fall into place; otherwise, all efforts will be in vain. As things stand, at this critical moment, Apple seems to have taken the wrong path. In 2024, Warren Buffett’s Berkshire Hathaway cut its Apple stake by 67% over the course of the year, and this certainly reflects the growing skepticism from the capital markets. Since the beginning of 2025, Apple’s stock has dropped more than 20%, making it the worst performer among the “Big Seven” tech giants.

A year ago, Apple announced the launch of Apple Intelligence as its response to the wave of complex chatbots and systems sparked by ChatGPT and the rise of generative AI. Analysts pointed out that Apple’s user base of over one billion iPhones, its wealth of on-device data, and its custom-designed silicon chips positioned the company to become a leader in the AI field. However, a year later, its performance in AI continues to face widespread skepticism. Apple Intelligence has fallen short of expectations, while OpenAI, Google, and Meta have continued to make significant progress with the release of new generative AI models.

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