From Nasdaq:

Tim Cook, CEO of Apple Inc., mentioned AI for the first time during the December quarter earnings call. This has analysts like Dan Ives excited about Apple’s prospects, especially in AI and iPhone growth. Apple now has a total installed base of 2.2 billion across its devices, providing a substantial user base to tap into for its AI efforts.

Despite Apple’s work on AI for several years, it has not been as vocal about it as other Big Tech companies. Cook’s mention of AI in the earnings call also excited Deepwater Asset Management’s Gene Munster. Additionally, Apple reported a 6% increase in iPhone 15 sales, giving it a 64% market share in the U.S. However, iPhone sales in China dropped 12% due to competition from Huawei, leading to a decline in overall sales.

Apple has also published an AI breakthrough in a research paper, explaining how it can run large-language models on devices with limited memory, allowing for on-device AI on older iPhones. This is significant progress for the company, considering the memory limitations on older iPhones compared to modern Android smartphones. Apple shares closed at $185.85 on Friday, down 0.54% in the last 24 hours. In after-market hours, they fell further to $185.11, down 0.4%.

This news is important as it highlights Apple’s potential for growth in the AI sector and its performance in the iPhone market, despite facing challenges in China. The company’s efforts to bring AI to older iPhones also show its commitment to technological advancements. These developments may impact Apple’s stock performance and investor sentiment.



Read more: Tim Cook’s AI Efforts Have Wedbush’s Dan Ives Excited: ‘We View Apple Like Meta 18 Months Ago’