Apple Allocates $73 Billion For AI Development, Competing With Microsoft AI

By Thea Felicity

Mar 03, 2024 07:05 AM EST

(Photo : Photo by CHRISTOF STACHE/AFP via Getty Images)
The logo of US tech giant Apple can be seen on an Apple store in Munich, southern Germany. - Apple said it planned to invest more than one billion euros ($1.2 billion) in Germany and open Europe's biggest research facility on mobile wireless semiconductors and software. The company said it would make Munich its "European Silicon Design Centre", creating hundreds of new jobs at a facility for 5G and wireless technologies.

Earlier this year, VCPost reported that Apple is ditching its decade-long car project.

Now, the $73 billion funds for the Apple car will be reportedly redirected to Apple AI instead, as mentioned first by Benzinga.

Apple Inc. eyeing new avenues beyond its traditional product lines is not new. With the integration of artificial intelligence, they are setting their sights on challenging Microsoft's AI leadership.

In the same report, Benzinga also stated that Apple will reveal its suite of generative AI-based tools at the upcoming Worldwide Developers Conference (WWDC) in June. These tools, part of iOS 18, represent a significant leap in Apple's AI strategy, promising to improve user interactions across its ecosystem.

First AI Plans of Apple Inc.

The first part of Apple AI's plan will be seen on Sir, which is reportedly poised for a major upgrade now with the power of generative AI to deliver a range of innovative functionalities.

Beyond Siri, Apple aims to introduce another AI-based tool for streamlining software development processes, akin to Microsoft Corp.'s Copilot.

The said artificial intelligence tool, expected to integrate with Apple's Xcode software, could revolutionize how developers work on the Apple platform.

Apple is also looking into AI applications to automate Apple Music playlists and enhance business presentation software, signaling a broader commitment to infuse AI across its product range.

Like Microsoft's AI endeavors, Apple's are not without strategic partnerships and technological breakthroughs. Talks with major publishers reflect its dedication to refining AI capabilities through access to diverse data sets.

Apple AI researchers have also pioneered methods to deploy large language models (LLMs) on devices with limited memory, democratizing access to sophisticated AI functionalities.

All eyes are set on WWDC as Apple's investments in AI research and development reflect a vision beyond their current offerings. One thing is clear: Apple promises a future where all Apple devices serve as intelligent companions, upping Microsoft's AI breakthroughs.

Industry