Apple AI
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Apple's AI strategy may not necessarily be to offer only the best AI apps it can build, but instead to create an expanded AI app store that may debut at WWDC.
Apple, like many other technology companies, is working hard to incorporate elements of artificial intelligence into its operating systems and software and could potentially introduce these products to consumers in 2024. However, Apple may have other plans for how to make money from AI.
Talking to CNBC on Monday, Melius Research head of technology research Ben Reitses believes Apple will break ground on a new AI App Store in June. This will obviously include details on how consumers will be able to purchase AI applications from various providers.
Reitzes explains the reason by citing other Apple storefronts that have become industry-changing giants. Apple “has a history of convincing many leaders to build apps or do something with them while improving the ecosystem,” he insists.
This isn't entirely relevant, but as an example, the analyst suggests Steve Jobs talk to record labels to get them to agree to downloads and the dollar-per-song idea before creating the iTunes store.
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What is more relevant is the iPhone App Store However, Reitzes notes that Apple only created some applications, but convinced others to make them.
Reitzes believes that it is the same story again, but for AI. Apple will offer its own artificial intelligence services, but the company is in talks with other companies about offering its artificial intelligence applications for sale, possibly as part of the AI App Store.
In a research note published Monday, Melius Research said: “We think Tim Cook and his team are running around talking to competitors because they are tapping into Steve's inner persuasion skills.”
Reitses predicts that Apple will detail how to buy AI apps in the App Store at WWDC, it will have its own apps, an AI assistant, and an upgrade to Siri. Signs of how artificial intelligence will make its way into Apple's services business are expected to be at least tentatively explored.
AI App Store
AI App Store Concept is not something completely new as other analysts have suggested the same thing. In February, for example, Wedbush wrote that Apple would promote artificial intelligence and eventually create a “separate app store for artificial intelligence.”
Wedbush also wrote that Apple should have discussed the concept internally at WWDC. Whether developers will participate in these negotiations is another question.
Reitzes' comments about how Apple has talked to others, including Google, about adding listings to the AI-focused app store may also have merit. Apple has reportedly been in talks with companies including Baidu to provide generative artificial intelligence services in China, and it is likely that talks could move towards the topic of a dedicated App Store.
Apple is also in talks with Google to license the search giant's Gemini AI to improve Siri's AI. Like many other AI services, Google Gemini is already available through an app available on the App Store, so it won't be too difficult to include it in an AI-focused store.
WWDC 2024 will take place in early June. The event has not yet been announced.
Rumour Rating
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