Is Apple’s AI Solution Enough to Save The Stock?

Apple’s stock decline is attributed to its lack of a robust AI product compared to competitors like Microsoft (NASDAQ: MSFT) | MSFT Price Prediction, Amazon (NASDAQ: AMZN), and Alphabet. Apple plans to integrate AI into its products by 2025 through a partnership with OpenAI. Historically, Apple (NASDAQ: AAPL) has relied on in-house development, but the current landscape may force them to collaborate with other tech companies to stay competitive and boost their stock.

Transcript:

One of the reasons that Apple’s stock is down is it does not have an AI product to go with anything at all.

And it’s hinted that one of its new chips is sort of AI-based for the new product.

And particularly when they brought out the iPad, it didn’t really make a lot of sense how that was gonna work.

They should not move the needle there at all. In fact, they were lampooned over their big commercial where they crushed objects and it was stupid.

It was stupid. Now, their problem today is that Microsoft is considered way, way ahead of everybody else.

But Amazon and Alphabet are sort of considered, they’re at least in relatively good shape.

Recently, Apple said they’re going to have a deal with OpenAI, but it’s not going to show up in their iOS and their products until 2025.

Right. Yeah, and I think that… And this is, you and I have seen this enough over the last two and three decades that technology is a monkey-see-monkey-do business.

Microsoft got such a jump on it, then Google and Alphabet thought, uh-oh, is AI going to take away our search business?

Will people’s strong AI products take away that?

And that forced everybody to start throwing all of their hats into the ring at once.

But I mean, clearly, you know, Microsoft has that lead and Apple does have to put it into their devices because that’s the core of their business.

One of the things I find fascinating about this is that Apple has been a “must be invented here” company for many, many years.

They rarely went to others. They even decided that they had to be their own chips.

I mean, they brought everything in house, which may end up causing them a problem with regulators.

Like their electric car. So do you see this as one of the early first times that Apple actually says, we have to do a major partnership with another tech company to get our stock going back up?

Yeah, I think absolutely they do because they don’t have the advantage of having other products that can immediately benefit from AI as Alphabet does, as other companies do.

And yeah, I think they’re gonna have to make a deal, get something into the phones and the new iPads that can really take advantage of advanced AI, which everybody’s using now.

And you can use it really, it can be as quick, even ChatGPT, the new 4.0, it’ll do a faster search really than Google.

And it’ll give you a definitive quick answer rather than having to scroll through every single thing that Google has about a certain item.

Yeah.