Apple recently made a major announcement regarding artificial intelligence (AI), unveiling technological advancements that are already impacting the market. Among the concerned players, some seem to be benefiting while others must rethink their strategy. Discover the big surprises and the implications of this new announcement for the key players in AI.
The impact of Apple’s announcements on AI
Marc Dubois, a technology journalist, analyzes Apple’s recent announcements regarding artificial intelligence with keen insight. The goal is to highlight the winners and losers following these revelations. Who will emerge victorious and who will face challenges? The answers may surprise you.
Taiwan Semiconductor Manufacturing
One of the biggest beneficiaries of Apple’s announcements is undoubtedly Taiwan Semiconductor Manufacturing (TSMC). This already well-established company sees its future even brighter thanks to its ongoing collaboration with Apple. In 2021, 2022, and 2023, Apple represented 26%, 23%, and 25% of TSMC’s revenues, respectively. The release of Apple Intelligence exclusively for iPhone 15 models and newer could create a new wave of demand for iPhones, thus boosting TSMC’s sales.
Microsoft
Microsoft is also a major winner from this announcement. Apple has decided to partner with OpenAI, the company behind ChatGPT, in which Microsoft has heavily invested. This collaboration enhances the use of ChatGPT in the Microsoft Office suite, providing a seamless experience for millions of Office and iPhone users. Additionally, some workloads from iPhones will be delegated to Microsoft’s Azure servers, generating additional revenue for the company.
Alphabet
On the losing side, we find Alphabet, the parent company of Google. Alphabet’s generative AI technology, Gemini, could have been Apple’s choice for its Apple Intelligence. However, Apple opted for the ChatGPT solution, breaking a long-standing tradition of collaboration between the two giants. This change is a significant blow to Alphabet, which is missing out on a major opportunity.
Apple
Finally, Apple itself finds itself in a somewhat paradoxical position. While the announcement of Apple Intelligence will likely boost demand for new iPhone models, it raises deeper questions. With massive resources and an army of engineers, why hasn’t Apple developed its own AI model internally? This partnership with an external company may raise concerns about data security and privacy, which could pose long-term problems.
