Apple Inc. has officially thrown its hat into the fast-moving artificial intelligence (AI) arena, and this time, it’s not just symbolic. During Apple’s quarterly earnings call, CEO Tim Cook made a bold declaration: Apple is significantly growing its investment in AI, with realignment of resources, and an openness to acquire other companies to supercharge its AI ambitions.
This statement marks a pivotal moment for the Cupertino tech giant, signaling its determination to not only catch up in the AI race but also redefine how AI fits within the Apple ecosystem.
Apple’s AI Strategy: More Than Just Catching Up
Tim Cook’s remarks were clear: “Apple has always been about taking the most advanced technologies and making them easy to use and accessible for everyone, and that’s at the heart of our AI strategy.”
This is more than just a vision—it’s a signal that Apple is pivoting from a cautiously observant stance to an aggressively proactive one in artificial intelligence. While competitors like Google, Microsoft, and Amazon have already released robust generative AI products, Apple has so far remained relatively quiet. But that silence is over.
According to Cook, Apple is now reallocating top-tier talent and increasing internal resources dedicated specifically to AI development, particularly around Siri and its future capabilities.
Apple Stock Rebounds Amid AI Announcement
Following the AI-focused remarks and strong earnings report, Apple’s shares rose more than 2% in after-hours trading, despite being down nearly 17% for 2025 YTD. This uptick shows that Wall Street is cautiously optimistic about Apple’s future moves in AI, especially given concerns earlier this year about Apple falling behind in this critical domain.
Here’s a quick comparison of Apple with its “Magnificent Seven” peers:
| Company | YTD Performance (2025) | AI Developments |
|---|---|---|
| Apple (AAPL) | -17% | New Siri coming in 2026, AI M&A |
| Microsoft | +24% | Copilot, OpenAI partnership |
| Google (Alphabet) | +31% | Gemini AI, AI search tools |
| Meta | +37% | LLaMA models, AI assistant expansion |
| Amazon | +18% | Bedrock, Titan AI services |
| Nvidia | +46% | Dominant in AI chips |
| Tesla | -23% | FSD & Optimus bot AI focus |
Observation: Apple and Tesla remain the only members in red, but Apple’s new direction could reverse that trend.
Siri Gets an AI Upgrade—But Not Until 2026
One of the most eagerly anticipated AI-powered features is a smarter, more personalized version of Siri. Originally expected in Spring 2025, this new Siri will now likely launch in early 2026, per Cook’s update.
This delay is not without consequences. Investors and tech enthusiasts were expecting a leap into conversational AI similar to ChatGPT or Google Assistant’s new LLM-powered experience. But Apple appears to be prioritizing perfection and privacy over a rushed release.
“We believe that users want powerful AI that respects their data, and that’s what we’re building,” said Cook.
Could Apple Acquire an AI Startup Like Perplexity?
Cook also revealed that Apple is open to mergers and acquisitions (M&A) if the deals would help accelerate its AI roadmap. Although Apple is traditionally conservative with M&A activity, 2025 has been surprisingly busy—with around seven acquisitions already completed, though not all were AI-focused.
Dan Ives, a Wedbush analyst, recently suggested that AI startup Perplexity could be a strategic fit for Apple, especially for enhancing its in-device search and generative capabilities. Apple has also reportedly been in discussions with OpenAI (makers of ChatGPT) and Anthropic (creators of Claude AI) to potentially license or integrate their models.
Potential AI Acquisitions for Apple (Speculation Table)
| Company | Specialty | Why It Fits Apple |
|---|---|---|
| Perplexity AI | Search + Generative AI | Boost Spotlight, Safari |
| Anthropic | Claude LLM | Siri enhancement, privacy-first |
| Rewind.ai | Contextual memory AI | iOS, journaling, user experience |
| Runway ML | AI video tools | Apple Vision Pro synergy |
| Humane AI | Wearable AI assistant | Vision, AR, Siri 2.0 |
What This Means for Apple’s Future
There’s a clear narrative forming: Apple is entering a new era of intelligent devices powered by AI. This could touch nearly every product—iPhones, iPads, Macs, and especially the Vision Pro headset, which is ripe for AI-driven interaction.
AI isn’t just a feature anymore—it’s the foundation for how users will engage with Apple devices moving forward.
Here’s what to expect:
- More natural, conversational Siri
- AI-enhanced Photos and Safari
- On-device processing with Apple Silicon
- Increased integration between hardware and generative AI
AI, Privacy, and Apple’s Unique Position
Apple’s approach to AI may be late to the race, but it’s rooted in privacy-first innovation. Unlike some competitors that rely heavily on cloud processing, Apple is investing in on-device AI, which gives it a competitive edge in protecting user data.
“We think AI should serve you, not sell you,” Cook said—a subtle dig at rivals that monetize user data.
This philosophy is expected to resonate deeply with Apple’s loyal customer base, particularly in regions like Europe, where GDPR and digital privacy are major concerns.
