Apple is preparing to pump billions to bring AI to iPhones, integrate it with Siri, other apps

Apple is launching a substantial initiative to bolster its artificial intelligence (AI) capabilities, led by top executives John Giannandrea, Craig Federighi, and Eddy Cue. According to a report by Bloomberg’s Mark Gurman, this project boasts an annual budget of approximately $1 billion.

Apple is determined to catch up in the rapidly evolving AI ecosystem, where competitors like Microsoft, Meta (formerly Facebook), Google, and Amazon have made significant advancements, particularly following the launch of OpenAI’s ChatGPT last year. Apple’s plan is not limited to enhancing its voice assistant, Siri; it also extends to integrating AI into its flagship iOS operating system for iPhones.

The report reveals that John Giannandrea is spearheading the development of a new AI system, while simultaneously focusing on enhancing Siri for deeper integration. This improved iteration of Siri could potentially become available as early as next year.

Craig Federighi, responsible for overseeing iOS development for iPhones and MacOS for MacBooks, is also working on integrating AI into Apple’s operating systems. His team’s primary focus is on incorporating features powered by Apple’s extensive language model, internally referred to as AppleGPT. This model leverages vast datasets to refine AI capabilities, with the aim of enhancing user interactions with Siri and the Messages app.

Apple’s software engineering teams are also contemplating the incorporation of generative AI into development tools such as Xcode. This strategic move could accelerate app development, akin to services like Microsoft’s GitHub Copilot.

Eddy Cue’s team is exploring the integration of AI across a wide array of Apple’s apps. Their efforts encompass adding new features to Apple Music, like auto-generated playlists, and enhancing productivity apps. Generative AI is also under consideration for apps like Pages and Keynote, with the goal of assisting users in tasks such as writing and creating slide decks. Additionally, generative AI is being tested for internal customer service apps within AppleCare.

A key consideration within Apple is the deployment of generative AI: whether it should be on-device, cloud-based, or a hybrid approach. An on-device approach offers advantages in terms of speed and privacy, while a cloud-based setup enables more advanced AI operations. This initiative underscores Apple’s commitment to advancing AI across its product ecosystem to remain competitive in an increasingly AI-driven tech landscape.