On May 10th, Apple is set to launch a series of artificial intelligence features this year through data centers equipped with its in-house developed processors, as part of its comprehensive enhancement of device AI capabilities.
According to sources, Apple is deploying high-end chips in its cloud computing servers similar to those in Macs, specifically designed to handle complex AI tasks on Apple devices. Meanwhile, simpler AI functions will be processed directly on iPhones, iPads, and Macs.
This move signifies Apple's significant breakthrough in the field of generative artificial intelligence, which is the core technology relied upon by tools like ChatGPT and others. While Apple has been relatively behind in this field compared to other tech giants, it plans to showcase its ambitious AI strategy at the Worldwide Developers Conference on June 10th.
In fact, Apple's idea of using in-house chips in the cloud for AI tasks dates back three years, but with the AI boom driven by projects like OpenAI's ChatGPT and Google's Gemini, Apple has accelerated the implementation of this plan. The initial chips deployed in AI servers last year were the M2 Ultra introduced with the Mac Pro and Mac Studio, with Apple already planning more advanced versions based on the M4 chip.
Following this announcement, Apple's stock briefly reached an intraday high of $184.59, despite a more than 4% decline in its stock price this year.
Simple AI tasks like summarizing missed iPhone notifications or messages can be handled by the device's internal chips. More complex tasks such as image generation, long article summaries, and lengthy email responses may require cloud processing, which also applies to upgraded versions of Siri.
These features will be officially rolled out as part of iOS 18 this fall, marking a shift in Apple's strategy. Over the years, Apple has emphasized the importance of on-device processing to ensure security and privacy. However, individuals involved in the Apple Chips in Data Centers (ACDC) project indicate that components within the processors can effectively protect user privacy. Apple employs Secure Enclave technology to ensure data isolation from security threats.
Currently, Apple plans to initially utilize its own data centers to support cloud functions, with potential future reliance on external infrastructure like iCloud services.
Apple's CFO Luca Maestri mentioned this in a recent earnings call. When asked about AI infrastructure development, he stated that Apple will use a mix of in-house and third-party data centers, a hybrid model that has been effective in the past and will continue in the future.
Processing AI functions on devices will remain a crucial part of Apple's AI strategy, with advanced features depending on the latest chips such as the A18 chip in iPhones and the newly launched M4 chip this week. These chips have undergone significant upgrades to the neural engine, a key component dedicated to handling AI tasks.
Apple plans to swiftly upgrade its product line by introducing the next-generation M4 chips into all Mac computers. Reports suggest that the Mac mini, iMac, and MacBook Pro will use M4 chips later this year, while the MacBook Air, Mac Studio, and Mac Pro will adopt them next year.
Overall, Apple's plan lays the foundation for integrating AI technology into most of its product line. The company will focus on simplifying daily user operations, enhancing user convenience through suggestions and customized experiences. While Apple does not intend to independently launch ChatGPT-style services, discussions are ongoing regarding the possibility of offering such services through partnerships.
Just last week, Apple stated that its ability to run artificial intelligence on devices will be a key differentiator from its numerous competitors.
Apple CEO Tim Cook expressed in an earnings call, "We firmly believe that artificial intelligence will bring revolutionary changes and tremendous opportunities. Apple, in this new era, will distinguish itself from other competitors with its unique integration of hardware, software, and services."
While Cook did not disclose specific details, he indicated that Apple's in-house semiconductors will provide an advantage in the field of AI, emphasizing that privacy protection is at the core of its innovation and product design.
Sources reveal that Apple has invested hundreds of millions of dollars in this cloud computing project over the past three years. Despite service gaps, Apple has explored integrating chatbots from companies like Google and OpenAI into iPhones and iPads to meet some users' needs. Negotiations with OpenAI are progressing, indicating an increased likelihood of collaboration. Additionally, Apple may offer service options from other companies.
