And one small AI company could help them do it.
Here’s the story:
Every year, Apple hosts its annual Worldwide Developer Conference, or WWDC, in Cupertino, California. This is where Apple provides major software updates to Apple customers and even launches new products and services. It has been doing this ever since 1983. It is a must-watch event for anyone interested in Apple’s “next big thing.”
Back in 2006, for example, Apple used the WWDC to launch the Mac Pro. At the 2008 WWDC, it launched the App Store. Just last year, at the 2023 WWDC, it launched the Vision Pro.
And this year, at the 2024 WWDC, I predict it is going to unveil its long-overdue, highly-anticipated blueprint for the AI race.
As I like to say, Apple is the $3 trillion elephant not in the room when it comes to the AI race…
Microsoft (MSFT), Amazon (AMZN), Alphabet (GOOGL), and Nvidia (NVDA) are all-in with AI. But Apple has been noticeably quiet about its AI developments and investments.
That is all going to change on June 10.
Apple isn’t asleep at the wheel here. Instead, it’s waiting for the right time to launch a head-turning AI service.
Just like the iPhone.
Apple wasn’t the first to the smartphone market. That was Blackberry (BB). Apple was, however, the contender that revolutionized smartphones.
I think Apple’s “iPhone moment” for AI is coming in just days.
Apple’s Data Treasure Trove Poised to Revolutionize AI
Most people fail to understand that Apple is uniquely positioned to create great AI because great AI is based on great data, and Apple is sitting on a treasure trove.
There are over a billion iPhones in the world right now. About 1 in 6 people have an iPhone. And we are on those iPhones all day, every day. The average American, for example, spends nearly five hours per day on their phone.
We are doing all sorts of things on those iPhones – listening to music, watching movies, texting friends, reading news, trading stocks, and so on.
We live our lives on iPhones. In fact, I would even say that in today’s society, our life is mostly encapsulated in those little rectangular devices.
Which means, of course, Apple has direct access to our lives.
Just think about the data your iPhone collects on you every day. Your Spotify or Apple Music streams. Your YouTube shows. Your news feeds. Your messages. All of it. Every day. Apple has all the personal data necessary to create profound, hyper-personalized AI.
But data is just half the equation of creating great AI.
The OpenAI Connection
Great AI is like a great car €” it needs a great engine and a lot of fuel. Apple has the fuel. It has the data. But it does not have a great engine.
That is where OpenAI comes into play.
The company behind ChatGPT has arguably the greatest AI models in the world. It has the best “engine,” if you will.
That is why reports have recently emerged that Apple and OpenAI are teaming up. The two have reportedly formed a partnership to bring ChatGPT and OpenAI’s models natively to the iPhone via the latest iPhone software update, iOS 18 – which is expected to be officially unveiled at WWDC 2024 on June 10.
What exactly does that look like?
No one knows for sure. But I suspect it means integrating ChatGPT throughout the iPhone, perhaps even replacing Siri and equipping every iPhone with its own unique ChatGPT AI personalized to the phone owner.
Imagine Siri being actually super smart and capable… booking restaurant reservations for you… firing off messages and emails that are actually worded correctly… planning your day… suggesting TV shows and movies… finding recipes… and more.
That is what I think Apple will unveil with iOS 18 at WWDC 2024. It is going to be all about upgrading the iPhone with AI features and services.
The Final Word
This is where things get really speculative…
But, if I am right…
And the research suggests I am…
One tiny AI stock that most folks have never heard of could be primed to soar because of Apple’s AI plan unveiled on June 10.
I have just put together an emergency briefing ahead of Apple’s big AI announcement, which lays out all the details and connects all the dots for you.
You need to watch this briefing now, before June 10 at 1 p.m. Eastern, when Apple officially unveils its AI plan.
Click here to get all the details now.
On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article.
P.S. You can stay up to speed with Luke’s latest market analysis by reading our Daily Notes! Check out the latest issue on your Innovation Investor or Early Stage Investor subscriber site.