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6 min read
Apple is about to answer a burning question about its future
Analysis by Lisa Eadicicco, CNN
Updated:
5:00 AM EDT, Sun June 8, 2025
Source: CNN
Apple is about to reveal what’s next for its most important products
at its annual Worldwide Developer’s Conference on Monday. This year,
the stakes are significantly higher than usual.
Apple announced its long-awaited push into artificial intelligence at
last year’s event by introducing Apple Intelligence, a suite of
AI-powered features for the iPhone and other products. But delays and
underwhelming capabilities have put Apple on its back foot. The
company consumers and Wall Street that it’s a leader in the crucial
technology, which is expected to overhaul the way people work,
communicate and find information online.
Now, one year after introducing Apple Intelligence, the company is on
the hook to prove at this week’s Worldwide Developer Conference
(WWDC), a key annual event for the company, that it can make a name for
itself in the AI space as its chief rivals like Google continue to
charge ahead.
Addressing the problem
At this year’s WWDC, which kicks off Monday with a keynote address
from Apple CEO Tim Cook and other executives at 10 a.m. PT, don’t
expect Apple to show off a flashy new iPhone or Apple Watch. Instead,
the company will outline new capabilities for its current devices that
lay the foundation for where it could be going next.
“WWDC, from a developer conference perspective, is maybe more
interesting than others,” said Carolina Milanesi, president and
principal analyst at technology analysis firm Creative Strategies.
“It does give consumers a peek as to what they can expect coming to
whatever device that they already own.”
How much or how little those software updates incorporate Apple
Intelligence could be telling. Apple did not immediately respond to
CNN’s request for comment regarding its WWDC plans and AI strategy.
Apple’s AI struggles are larger than just a product delay. The bigger
issue is that Apple’s current AI tools don’t offer experiences that
are notably different from what . Apple Intelligence can summarize text
messages, identify real-world surroundings with the iPhone’s camera,
erase unwanted objects from photos, rewrite emails and prioritize
notifications. But those features are similar to capabilities offered
by other companies such as Google, OpenAI and Samsung.
In fact, rivals like and are already moving one step further with
technology they claim can execute tasks for consumers rather than just
answering questions or generating summaries.
There are benefits to waiting; Apple has largely been able to avoid the
of its rivals, with . Apple is also known for popularizing new
technologies rather than being first, as was the case with smartwatches
and tablets, two categories it now dominates.
But Apple has yet to prove it can do the same with AI. And it doesn’t
sound like that’s going to change at WWDC, according to , who wrote
the event “may be a letdown from an AI standpoint,” citing
“people within the company.”
However, the report did say Apple may open its models to developers so
that non-Apple apps can incorporate text summarization and its other
AI-powered features. The company may also announce an AI-powered
battery management tool, according to .
But Dan Ives, global head of technology research for Wedbush Securities
and an Apple bull, isn’t concerned about whether Apple makes
significant AI announcements on Monday. He thinks Apple has a big
opportunity to monetize Apple Intelligence moving forward despite its
slow rollout, he wrote in a June 6 report.
The competition
Google, whose Android operating system is the only major rival to
Apple’s iOS, has been barreling ahead with new AI tools and services.
Its annual I/O developers conference was entirely focused on AI, with
the company showing how the tech will be incorporated into everything
from its to its popular Chrome browser and Gmail.
At that event, Google also announced an upgraded version of its
AI-generated video engine that and for its ability to create startingly
realistic clips.
“I think it’s becoming clearer how far behind they (Apple) are in
AI,” Deepwater Asset Management managing partner Gene Munster told
CNN in March.
Samsung is also said to be partnering with AI startup Perplexity to
package its app and digital assistant into its Galaxy phones, according
to . This comes after Motorola incorporated AI technology from several
companies, including Perplexity, on its new – further underscoring
that the technology could play a bigger role in smartphones.
That presents a major opportunity for Apple; it’s the world’s
second-largest phone maker by market share and also the only mobile
device company to completely control both the hardware and software of
its products. That crucial benefit has long been an advantage for
Apple, giving it more freedom to develop exclusive features tailored
for its products on its own timeline rather than coordinating with
partners. Wedbush Securities estimates that “25% of the world’s
population will eventually access AI through an Apple device over the
next few years,” Ives wrote.
But Apple has yet to execute on that potential with AI, and the clock
is ticking.
“We need more time to complete our work on these features so they
meet our high quality bar,” Apple CEO Tim Cook said in reference to
the more personal version of Siri on the company’s May earnings call.
“We are making progress, and we look forward to getting these
features into customers hands.”
Building the future
There’s a growing belief in the tech industry that some new type of
device could one day supplant, or at least partially replace, the
smartphone. And those devices, unsurprisingly, will largely run on AI.
Eddy Cue, the longtime Apple executive that leads the company’s
services division, even , saying during his testimony in Google’s
search antitrust trial that “you may not need an iPhone 10 years from
now,” reported. Veteran former Apple designer Jony Ive and OpenAI CEO
Sam Altman are also partnering to develop a new AI hardware product,
the pair .
Companies like Google, Samsung and Meta are also investing in smart
glasses with built-in digital assistants that can identify objects in a
person’s environment as a potential successor to the smartphone.
That doesn’t mean iPhones will become obsolete anytime soon, nor does
it mean consumers will switch to Android or avoid upgrading because of
a lack of new AI features.
But in the near term, AI could give Apple another means to encourage
iPhone upgrades if executed properly. Apple Intelligence is only
supported on newer models, specifically the iPhone 15 Pro and later,
meaning customers with older phones must upgrade to use it. Apple
touted the iPhone 16 as being “built for Apple Intelligence” when
announcing the device in September.
Cook said during Apple’s most recent earnings call that
year-over-year iPhone 16 performance was stronger in countries where
Apple Intelligence was available than those where it was not available,
perhaps an indication that its AI efforts are somewhat helping sales.
The fact that people carry their iPhones – along with their AirPods
and Apple Watch – everywhere they go could give Apple’s Siri a leg
up compared to rivals like Amazon’s Alexa.
That is, if Apple does it right.
“The fact that Siri knows me so much more, just because my main
driver, from a phone perspective, is an iPhone will make that
interaction even more valuable than what Alexa does,” said Milanesi.
“(Alexa) sees me in my home context, but doesn’t necessarily come
with me in the outside world. So that is the potential right now.”
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