Apple, caught by surprise in generative AI boom, to spend $1 billion per year to catch up: Report

Technology
Monday, October 23rd, 2023 2:19 pm EDT

Key Points

  • Increased AI Investment: Apple plans to allocate $1 billion per year for the development of generative artificial intelligence (AI) products, indicating its commitment to advancing its AI capabilities.
  • Catching Up with Competitors: Apple’s decision to boost AI investment is seen as a response to competitors like Google, Microsoft, and Amazon, who have already introduced various AI products and features. Apple aims to catch up in this rapidly evolving field.
  • Apple’s AI Focus: While Apple uses AI in its products for tasks like photo enhancement and text autocorrection, it has yet to launch a generative AI product similar to those offered by companies like OpenAI and Google. The company is exploring AI integration in Siri, Messages, and Apple Music, with potential features like auto-generated playlists. Key executives leading Apple’s AI initiatives include John Giannandrea, Craig Federighi, and Eddy Cue.

Apple is increasing its investment in generative artificial intelligence (AI) products, with plans to spend around $1 billion annually in this area. This move is seen as an effort to catch up with competitors like Google, Microsoft, and Amazon, who have already introduced various AI products and features. While Apple has integrated AI into its products for tasks like enhancing photos and autocorrecting text, it has not released generative AI products similar to OpenAI’s ChatGPT or Google’s Bard.

Apple has developed its own large language model framework called Ajax and is rumored to be working on an internal chatbot called Apple GPT. These developments have not yet been incorporated into Apple’s consumer products. The company is looking to use AI in Siri, Messages, and Apple Music, potentially to create auto-generated playlists similar to Spotify’s use of OpenAI’s technology. Furthermore, Apple is exploring the use of AI in Xcode to assist app developers.

Key executives leading Apple’s AI initiatives include John Giannandrea, Senior Vice President of Machine Learning and AI Strategy, Craig Federighi, Senior Vice President of Software Engineering, and Eddy Cue, Head of Services. Apple aims to strengthen its AI capabilities and offerings in response to growing competition in the AI space, although the company has not yet released specific details about its generative AI products.

For the full original article on CNBC, please click here: https://www.cnbc.com/2023/10/23/apple-to-spend-1-billion-a-year-in-ai-catch-up-efforts-report-.html