Apple earnings: this earnings season is the end of an era for Tim Cook as the AI era descends upon Apple’s new lines of iPhones, iPads and watches

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The AI era is upon Apple, and all of its tech peers, and the stories it tells its investors and customers about its products are about to change forever.

Already a subscriber?Almost without exception, every question from analysts covering Apple’s earnings call this quarter was about artificial intelligence.

But this is the last time it will be like that. From Apple’s next earnings report and onwards, we should start to see hard data about the impact of AI on iPhone sales, if not yet about its impact on services revenues.For now, Apple Intelligence is a free layer of services that sits on top of existing Apple software and services, providing improvements to features such as Siri, email, web browsing and photography.

to run personalised AI functions that are too complex to run on iPhones, iPads and Macs; and in whatever payments Apple is making to OpenAI for the provision of free ChatGPT services to Apple users., too, but as elsewhere, he declined to provide an answer. “I don’t want to get into the terms of the commercial agreements because they’re confidential between the parties,” he said.

Revenues from iPhones sales were down by 1 per cent in the third quarter compared to the same quarter a year ago, although allowing for currency fluctuations “we grew compared to last year”, Cook said.

 

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