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Apple mumbling as it is crumbling

by on02 February 2024


Apple tries to prove it has an AI plan

Apple boss Tim Cook was left red-faced yesterday as he tried to hype his artificial intelligence plans while his shares took a nosedive.

Apple is seen as having missed AI, like Microsoft, who misjudged the internet as being too busy propping up its iPhone cash cow without paying attention to what was happening outside its reality distortion field.

Cook did his best to reassure investors that his company would spend considerable “time and effort” on AI.

Cook promised that Apple would share details of its artificial intelligence (AI) work later this year, which shows how far behind Jobs’ Mob is.

Apple rivals, including Google and Microsoft, are vying to be leaders in AI, a technology poised to transform work, leisure, health care and more.

Apple is expected to put its spin on AI computing the same way it put its world-changing spin on the smartphone and the personal computer.

While Apple appears to be lagging in the AI race, it is likely quietly designing its computer chip for "AI Macs," according to analysts.

"We have a lot of work going on internally. We've got some things that we're incredibly excited about," Cook said.

Given that Apple fans get excited about overpriced headsets, that is not exactly a gold standard.

The iPhone peddler saw a massive slump in sales in China, where the locals have had enough of Apple's overpriced gadgets.

The company said its net sales in Greater China- including the mainland, Hong Kong, and Taiwan- dropped from a year ago to $20.8 billion in the latest quarter.

Shares of the iPhone maker plunged more than 3 per cent in after-hours trading.

Apple chief Tim Cook tried to brush off the disaster in China, saying on an earnings call that iPhones were still among the most popular smartphones in China.

"We've been in China for 30 years, and I remain very optimistic about China over the long term," Cook said.

Cook boasted that the number of Apple devices used worldwide reached a new high of 2.2 billion and that the company earned a record amount of money from services and subscriptions.

Apple logged $119.6 billion in sales, up two per cent from the year-ago period, fuelled by iPhone sales in the festive season quarter.

For the quarter, its profits came in at $33.9 billion, with diluted earnings per share above expectations at $2.18.

The company's closely watched iPhone sales reached $69.7 billion, an improvement from the same quarter in 2022.

Data from Counterpoint Research released Thursday showed that Apple's smartphone market share reached the highest since late 2020 in the final three months of last year.

But this was mainly due to a rebound from previous Covid-19-related factory shutdowns, causing production disruptions.

Counterpoint added that the final months of a year are typically an intense period for Apple, with iPhone sales boosted by holiday demand.

Investors are eyeing the performance of its highly anticipated Vision Pro mixed reality headset, which will be launched in the United States on Friday.

Cook touted the Vision Pro as a "revolutionary device" that marked an era of "spatial computing."

"We can't wait for people to experience the magic for themselves," Cook said of Vision Pro getting into Apple stores in the United States.

He said Vision Pro would become available in other countries later this year.

"As we look ahead, we will continue to invest in these and other technologies that will shape the future," Cook said.

Last modified on 02 February 2024
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