Apple Partners with OpenAI, Dow Rises Ahead of Inflation Data

Apple is close to finalizing a deal with OpenAI to integrate ChatGPT into its upcoming iOS 18 operating system. The partnership is expected to be announced at Apple's WWDC developer conference on June 10.

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Nitish Verma
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Apple Partners with OpenAI, Dow Rises Ahead of Inflation Data

Apple Partners with OpenAI, Dow Rises Ahead of Inflation Data

Apple Inc. is close to finalizing a deal, would, ai, golden, apple with OpenAI to integrate ChatGPT into its upcoming iOS 18 operating system, according to Wedbush analyst Dan Ives. The partnership, expected to be formally unveiled at Apple's WWDC developer conference on June 10, could open up "myriad" revenue opportunities for the tech giant.

Why this matters: This partnership has significant implications for the future of artificial intelligence in consumer technology, and could set a new standard for AI-powered virtual assistants. As Apple is one of the largest and most influential technology companies in the world, its adoption of ChatGPT could accelerate the development and integration of AI technology across various industries.

Ives believes the collaboration will allow Apple to build out a next-level Siri technology with OpenAI that can perform complex tasks for users. "We would expect Apple to build out a next level Siri technology with OpenAI that can do complex tasks for Apple users and more advanced features that will eventually be a separate monthly subscription service along with other AI features," he said.

The deal is expected to consist of an OpenAI Chatbot with exclusive features that build upon on-device Apple Large Language Models and cloud-powered Apple LLMs. Ives anticipates Apple will power AI on its own high-end chips. He views the partnership as opening up paths and apple, one, step, closer, getting opportunities on the Services front that Apple can take with this technology and ChatGPT features on the iPhone.

Apple shares, which have fallen 4.9% in 2024, are up 1.2% in premarket trading Monday following the news. The company has been in discussions with Google for an AI partnership on Gemini, but the apple, stock, price, forecast is seen as a more significant opportunity. Apple has recently been talking up AI, including introducing an AI photo feature that removes shadows from receipts and documents in its latest iPad Pro tablets.

In other market news, Dow Jones futures rose 0.1% ahead of key inflation reports set to be released this week. While Apple, Microsoft, and Nvidia stocks gained in early trading, Google and Tesla shares declined. Tesla stock, price, history, worst, ever has experienced a tumultuous year, with a large post-earnings rally in April followed by a subsequent 50% retracement of those gains by mid-May.

As Apple prepares to showcase its AI ambitions at WWDC in a few weeks, the reported OpenAI partnership marks a significant step in the company's strategy to expand its artificial intelligence capabilities. The integration of ChatGPT into iOS 18 could bring transformative new experiences to iPhone users worldwide when the update launches later this year.

Key Takeaways

  • Apple nears deal with OpenAI to integrate ChatGPT into iOS 18.
  • Partnership could bring "next-level" Siri with complex task capabilities.
  • Deal may include exclusive OpenAI Chatbot features and AI-powered services.
  • Apple shares rise 1.2% in premarket trading following the news.
  • Partnership to be formally unveiled at Apple's WWDC developer conference.