Apple’s Worldwide Developers Conference (AAPL) kicks off this week and will run from Monday, June 10 to Friday, June 14. The iPhone maker is expected to showcase its next generation of AI-integrated products. Apple CEO Tim Cook’s keynote address is scheduled to begin at 1:00 PM ET.
TECHnalysis Research President and Chief Analyst Bob O’Donnell joins Yahoo Finance’s Morning Brief to highlight the drivers that Apple’s AI products and services will have on tech stocks.
“And when Apple does that, a much larger audience sees what it is, starts to understand and understand what it is, and therefore it becomes a big thing. Even though they’re later in the game,” says O’Donnell. “And then the question… [is] services: How do they begin to monetize some of these features and add to this huge pie of services that has been the largest and most profitable part of the business for a long time?”
For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.
This post was written by Luke Carbery Maughan.
Transcript of video
A lot of hype, a lot of anticipation around the AI announcement that we’re going to expect to hear my question to you, but how big of a catalyst do you think this is for Apple stock?
Well, first of course, Dave, explaining to the world what AI actually means, it’s not artificial intelligence.
Obviously, it will be Apple Intelligence.
But anyway, look, here’s the thing, Brian brought this up earlier.
What is it that’s going to drive people to machines and, you know, at the end of the day, a lot of these things, obviously, Apple modest types of things, text summary.
Let me know what this website says.
Tell me what that document says, generate an email for me, automatically remove all these people in front of my family in my vacation photos so I can clean it up, you know, nice practical stuff.
The thing is, when Apple does it, and by the way, all these things have been available on Android phones and other places for a long time, the difference is that it’s Apple, right?
And when Apple does that, a much larger audience sees what it is, starts to understand and understand what it is, and therefore it becomes a big thing, even though they’re later in the game.
And then the question, and again, Brian alluded to the services, how do they begin to monetize some of these features and add to this huge pie of services?
It has been the biggest and most profitable part of the business for a long time.
Bob.
I hear you, the digital assistant Siri might be a cool way for me to delete a bunch of my friends from photos from five years ago.
I agree, I might want to share them on social media.
This is great.
But do we still see Apple as a laggard in the AI arms race?
Is this a company, maybe what, two years behind some of the news flow from open AIA Microsoft and other similar companies, or should investors be worried?
I mean, look, they’re obviously behind on Bryan, but they’re behind on a lot of other things, and that hasn’t slowed them down.
The bigger question for me is things like, you know, rumors of open AI partnerships to integrate GP T chat-type technology into the Apple experience.
This is not Apple.
Apple’s usual way of doing things.
They like to figure it out themselves.
Thank you very much, but they may have been forced into this particular situation because they were so backward to do so.
And you know, we’ve seen some strange things happen with A I open.
And of course Microsoft is using Open AI and how does it all mix and what are the implications?
These are the things that interest me.
And you know, the other thing is timing is wise, sometimes being a little late to the game of a brand new technology is the right time and this is actually the time as again the mass flow of people starts to go away.
Wow actually this is really great and these are the things I want time to tell Bob O’Donnell long time uh and video surveillance and technologist research president and boss Alice.
I always look forward to seeing you talk soon.
Thank you guys.
