Episode Categories:
Resources:
Join the discussion: Got something to say? Let us know here
Upcoming Episodes: Check out the upcoming Everyday AI Livestream lineup
Connect with Jordan Wilson: LinkedIn Profile
Try Our Free AI Prompting Course: Register for our free Prime, Prompt, and Polish AI Course!
Is Apple Stumbling in the Generative AI Race?
Recent rulings by federal judges in California have allowed AI companies, such as Anthropic and Meta, to train their models on copyrighted books provided that the materials were legally acquired. These decisions mark significant, albeit temporary, victories for AI firms in the copyright domain. However, they do not entirely resolve ongoing legal complexities as appeals and higher court decisions are anticipated. For business leaders, understanding these rulings is crucial as they will likely set precedents impacting AI development and deployment strategies across various sectors.
A Change in Strategy
Apple, once seen as a pioneer in AI with the introduction of Siri, seems to be reconsidering its strategy. There is movement towards potentially leveraging AI technologies from companies like Anthropic and OpenAI to enhance Siri's capabilities—suggesting internal developments weren’t meeting expectations.
Development Disasters and Strategic Pivots
Gone are the days when Apple was heralded solely for in-house innovation. Reports reveal Apple's ongoing challenges, stating that internal Siri advancements have become more of a developmental disaster, leading to dependence on external AI sources. This shift might mark a significant transition from Apple's famed strategy of vertical integration.
The Cost of Catching Up
Talks with Anthropic and OpenAI underscore a potential reliance on third-party tech to rejuvenate Apple's AI functionalities. However, these negotiations are accompanied by soaring costs, reportedly requiring multibillion-dollar investments. This poses financial pressures and a need for parallel discussions with multiple vendors, emphasizing Apple's urgency to remain competitive in the AI space.
The Echo of Innovation Lost
There's a stark juxtaposition between Apple’s current AI endeavors and its competitors. Companies like Google and Microsoft continue to pioneer in the AI field, while Apple seemingly struggles to catch up. The consequence? A likely diminished position in an arena where they once stood as innovators.
The Road Ahead
Apple's decisions signal a shift that may ripple through its future growth. The reliance on external AI capabilities raises questions about its innovation capacity and strategic vision. Without significant in-house developments, Apple risks losing ground to competitors firmly embedding AI as a core competency.
As Apple navigates this critical juncture, its ability to adapt and integrate externally developed AI solutions will be pivotal. This evolution might define the company’s future standing in a tech landscape increasingly dominated by AI advancements.
Topics Covered in This Episode:
- Apple's Generative AI Struggles Analyzed
- Bloomberg Report on Apple's AI Plans
- Apple's AI Strategy Shift with Competitors
- Siri Development Challenges & Delays
- Apple's AI Failures & Class Action Lawsuits
- Future of Apple's AI Innovation Discussed
- Anthropic & OpenAI's Role in Apple's AI
- Apple's AI Outsourcing Strategic Impact
Keywords:
Apple AI, generative AI, Bloomberg report, AI-powered Siri, Apple's AI failure, Siri assistant, strategic pivot, OpenAI, anthropic partnership, Apple innovation, AI development disasters, internal development, Alexa partnership, gen emojis, Apple intelligence, Apple WWDC, AI efforts, smarter Siri, AI redemption story, AI pioneer, industry laggard, privacy narrative, class action lawsuits, vertical integration, small language models, edge AI, on-device AI, AI integration, market cap, AI investment, Meta Superintelligence Labs, Tim Cook, CEO Apple, AI dependency.
Podcast Transcript
Jordan Wilson [00:00:16]:Is Apple cooked when it comes to generative AI? Well, a recent article that just came out from Bloomberg is reporting that Apple is actually reaching out to its closest competitors to essentially do the job they couldn't do in providing a smarter AI powered Siri assistant. So. Yeah, I think they are. So I'm going to be breaking down on today's show. What was in that report from Bloomberg, how apple went from AI power to laughing stock and why I think this is the beginning of the end for Apple in terms of generative AI. Alright. Hope you're ready for some spicy hot takes on hot takes Tuesday. I'm ready.
Jordan Wilson [00:01:10]:
Let's get into it. What's going on y'all? If you're new here, welcome. This is Everyday AI. My name is Jordan Wilson, and I'm the host. And this thing, it's your daily livestream podcast and free daily newsletter, helping everyday business leaders like you and me not just learn what's happening in AI, but how we can leverage it to grow our companies and our careers. Like, should you be investing all in on Apple AI? Probably not. So, if you want to learn more from today's episode, you know, just the bullet points or some additional info we didn't have time to get to, we're gonna be dropping that in today's free daily newsletter. It's a daily newsletter.
Jordan Wilson [00:01:45]:
So at youreverydayai.com, you can sign up for it there. We're gonna keep you up to date with everything else happening in the world of AI news. And you can also just on our website, go listen to 550 plus back episodes. You can listen to them, watch them all on our website, all for free. It is your cheat code to become the smartest person in AI at your company. Alright. Speaking of AI news, if you want it, this is gonna be in the newsletter. Let's just get straight into it.
Jordan Wilson [00:02:10]:
I wanna talk about why I think Apple is absolutely cooked when it comes to generative AI, and it actually starts with this Bloomberg report. So, actually, you know what? Let me just call this out. Livestream audience, I wanna hear from you all. Alright. What's your hot take? Am I completely wrong here? Or if you're, you know, gonna be reading today's newsletter reply. Let me know. But I do wanna, feature my favorite hot take from our livestream audience, in today's, daily newsletter. So if you want your hot take heard by thousands of people around the world, just go ahead and drop in the live stream comments.
Jordan Wilson [00:02:50]:
I'm gonna pick my favorite hot take. But, you know, so this is all starting from this report from Mark Gurman. And Mark Gurman is a well respected tech journalist at Bloomberg. He's essentially the Apple whisperer. So, he has a stellar track record on, just about everything, but specifically Apple. That is the main thing that he covers. And his report that just came out a few hours ago, is saying that Apple is considering using AI technology from anthropic or OpenAI to power Siri, sidelining its own in house models in a potentially blockbuster move aimed at turning around its AI efforts. Yeah.
Jordan Wilson [00:03:34]:
Pretty telling there if, your move to turn around your AI effort is to stop using your own AI. So here's what we're gonna go over, during the rest of today's show. We're gonna talk a little bit about some of the internal development disasters that force this dramatic strategic pivot, if you wanna call it that. I like to say this is more of a admitting that you failed and you can't keep up. So we'll see how Apple's stock responds. I would expect it to kind of go down over the next, couple of days. But, hey, I'm not a financial analyst, but I stayed at Holiday Inn Express once. How Apple went from AI pioneer to industry laggard in a few years and why Amazon successful Amazon partnership, or sorry, Amazon successful Alexa partnership with Anthropic could even reveal the new industry playbook.
Jordan Wilson [00:04:32]:
So let's just go straight to hot take y'all. Apple has reportedly spent millions with an s, millions of dollars a day trying to build their own generative AI systems in large language models. And they've failed to produce literally anything meaningful unless by meaningful, you know, combining two different gen emojis, using Apple's AI is, meaningful to you. Aside from multiple class action lawsuits, Apple has not produced a single useful thing. Yeah. Class action lawsuits aren't useful. It was just a joke there. But it's so bad.
Jordan Wilson [00:05:14]:
It is so bad. Apple's AI efforts are so bad. They actually put out what I, said was marketing disguise as research, saying that large language models essentially stick. Right? And that these new reasoning models that Apple has been unable to develop internally, well, they're not actually that good. Right? So, yeah, if you actually want that hot take from a couple of weeks ago, go listen to episode five forty three, which is Apple's weaponized research insights its illusion of thinking paper. Yeah. Literally, things have gotten so bad at Apple that they are putting out pretty bad research that immediately got debunked, by the scientific AI community. That's how bad it was.
Jordan Wilson [00:05:57]:
And this new smarter AI Siri that has been kicked down the road for multiple years, according to last year's Apple WWDC. So WWDC twenty twenty four, we were supposed to already have this new AI smart Siri. And the latest reports that came out a few weeks ago were saying that it could get pushed back until 2027. So, we don't have an updated timeline yet or if this potential partnership with either OpenAI or, anthropic means that that date might get pushed up. But y'all apple was so bold. A year and a half ago at WWDC twenty twenty four, right? Their big, yearly conference, they tried to rebrand artificial intelligence and call it apple intelligence, the audacity. Right? They promise all of these amazing things, and the headliner honestly was this new, smarter, more intuitive Siri. Because if any of you are using Apple devices on day to day basis like myself, you know Siri does nothing.
Jordan Wilson [00:07:05]:
If I'm being honest, I would have more confidence in the original, Eliza chatbot from the nineteen fifties, to respond to most of my queries than I would for Siri. I think I use Siri, to get the weather. Sometimes it works. Most of the times, it doesn't even work. So this was supposed to be Apple's AI redemption story, this new smarter Siri. It was supposed to, you know, put everyone at ease. It was supposed to, you know, appease the analysts and and reassure, you know, investors, in the in the the the board at Apple. But instead, we got another catastrophic failure from what was once the most prominent and powerful and innovative company in the world, of which it is no longer any of those three.
Jordan Wilson [00:08:03]:
And I'd say one of the main reasons why Apple is no longer considered the most innovative, powerful, company in the world is because of its lack of actual measure measurable progress on generative AI. Generative AI, that is the economy. That is, the the the next leap, in in world power. Let's be honest. There's a reason that there's, a legit arms race between, The US and China because whoever can, kind of controls or creates, the next most powerful, you know, AI model, whether that's, you know, AGI, artificial general intelligence, or something else, they become the world power that is in an unfair, advantage over everyone else. Apple is nowhere to be heard of in this conversation. Right? Some of its biggest competitors, Google and Microsoft, they're still in that conversation of being some of the world's most innovative companies. Apple, not anymore.
Jordan Wilson [00:09:10]:
Again, unless you think gen emojis. Yeah. Like I keep bringing this up, because Apple really at their WWDC this year, where they took a quote unquote gap year off of AI. Literally, one of their biggest announcements on the generative AI front was, hey. Instead of creating one, emoji with AI, inside, you know, iMessage or whatever, you can combine multiple genmojis. Oh my gosh. Oh my gosh. Apple is so innovative.
Jordan Wilson [00:09:41]:
That is a laughing stock. I am embarrassed if right. I'm embarrassed that I've been an Apple user for so long, and I don't know how many iPhones and and Macs I I I I have and I've owned over the years. I'm embarrassed to have, you know, I guess supported a company so loyally for so long. And me, obviously, being a generative AI, fan and practitioner and, analyst consultant, all of those things. I don't think we will ever see, at least not in my time, a company fall from grace so quickly as apple has as demonstrated, by this. So let's talk a little bit more about what they're actually trying to do according to this report. So the Bloomberg reports that Apple is in talks with both anthropic and OpenAI to essentially take over, their Siri development because Apple can't figure it out.
Jordan Wilson [00:10:47]:
Just like how when they, kind of rolled out their, certain aspects of their smarter Siri one point o, essentially, it kicks most queries to ChatGPT. It's like, yeah, you're gonna have to use ChatGPT for that. Right? So this potential deal would sideline Apple's own in house AI models completely. So it's not like they would, according to reports, be using a hybrid like they're kind of using now. Right? Right now, their own on device AI is handling some Siri queries, but most of them are just getting kicked to ChatGPT. So this was essentially a a stall tactic of more than a year, with this OpenAI partnership where, you know, essentially, we still have the same dumb non AI Siri, and it just kicks, most requests to, ChatGPT. But it it can't take advantage right now of of any of the information on your phone. You can't ask it.
Jordan Wilson [00:11:40]:
You know? Hey. You know? What did this person text me? You know, what's in my email? Right? It's funny. Actually, perplexity rolled out an iOS assistant that is better than Siri. Right? And, one thing that Apple kind of did to their credit, but I guess was also tipping their hat at where they were going as they opened up their on device or their edge AI, their small language model to third party developers, which I guess was another nod at saying, yeah. We really can't figure this all out internally. So let's, open up the reins after a year of keeping this in house and allowing third party developers to use essentially the, the AI that is on, Apple's iPhones. Right? So the AI capabilities. Right? So they have small language models, but for a year, they didn't open that up to anyone else.
Jordan Wilson [00:12:31]:
So this is just the latest, kind of departure, from Apple's legendary vertical integration strategy. It's not even there. Right? This is not the Apple that most of us have, known over the past, you know, decade or so. So let's dig in a little bit more on, what Apple's kind of desperation, you know, kind of the desperation level internally at Apple according to this report, from Bloomberg. So Mark Gurman revealed that Apple is requesting custom AI models from competitors. So they're like, yeah. Can you just kinda make this for us? It's not like they're like, hey. We're just gonna use this model you already have, and we're gonna go ahead and, you know, fine tune it or, you you know, work on it our ourselves.
Jordan Wilson [00:13:19]:
They're like, no. Can you just, like, make us something for us? Right, which obviously Apple would do any company that size, but it's it's it's telling, right, that they're not even able to just, you know, work with one of the, current models. Anthropics Claude has emerged as a leading candidate after some internal testing, but there are some pricing disputes more on that here in a minute. And Apple has demanded that models run on their infrastructure to preserve their privacy narrative. So, one thing Apple has, gotten right over the years is putting privacy first. And when it comes to AI, that is obviously of an utmost concern is, you know, what happens with all of my personal data that may be living, on my iPhone. So, you know, this could be another thing that causes even more delays. So like I said, the LLM Siri or sometimes people say the AI Siri or Siri two point o.
Jordan Wilson [00:14:18]:
Right? This project was originally supposed to be out, but it has already gotten pushed back to 2027, and it could even get kicked, obviously, more times. It's already gotten pushed back, I believe, more than a half dozen times. And CEO, Apple CEO, Tim Cook. Anyone noticed my my my clever naming of this episode? That wasn't AI. That was me. Yeah. Apple is cooked on generative AI. But CEO Tim Cook removed AI chief John Giannard ria.
Jordan Wilson [00:14:50]:
I don't know. I probably got that right, couple of months ago in March. And Apple's own models reported perform, their own models reported performance was 20% worse than the aging competitor technology. So not even compared to, you know, state of the art technology. So right now, here's what's happened. Apple promised a smarter AI powered Siri. They couldn't deliver. What was delivered was a bunch of class action class action lawsuits, because Apple advertised this.
Jordan Wilson [00:15:25]:
Right? They said, hey. Buy the new iPhone and, here's this. Here's a look at this smarter Siri. They literally had commercials and it just didn't exist. So, they're right now, the butt of any AI or innovation joke. So users are mocking, this dumb Siri or the Apple, quote, unquote, Apple intelligence that it can't really do anything. And class action lawsuits are gonna, I think, continue to be piling up for false advertising promises, and their AI features are being, described by many as half baked toys by reviewers. And I if I'm being honest, I think that's giving a little too much credit to things that are half baked because there's things that are half baked that are fantastic.
Jordan Wilson [00:16:11]:
Half baked pancakes, low key really good. Right? So even calling it half baked toy, I think might be giving, apple and Siri a little bit too much credit. So here's where it gets interesting. So it seemed like according to the report, if you're reading between the lines and we're gonna be, sharing that report in today's, newsletter, if you do wanna read it. So, it seemed like Anthropic was kind of a preferred, vendor for this maybe over OpenAI, which I found interesting. But again, that was me inferring and reading a little bit between the lines. And again, this is according to, unnamed sources. But again, this Bloomberg reporter is is stellar in his reporting.
Jordan Wilson [00:16:57]:
But it says that Apple is facing unprecedented cost for external dependency on their core feature. And the financial pressures right now are forcing, parallel backup negotiations with OpenAI. Because right now, it seems like Infropic and Apple are kind of might not be able to come to a, an agreement on pricing. Because right now, Infropic is reportedly saying that this would require a multibillion dollar yearly investment from Apple, and it would go up exponentially year over year. So, you know, reportedly, Anthropics is like, yo, this is gonna cost you many, many billions of dollars, and it's gonna get very expensive. Apple reportedly didn't like that, so they're also talking with OpenAI. So we'll see what actually happens here. And it also is worth noting that Anthropic does have a similar, kind of deal with Amazon Alexa.
Jordan Wilson [00:17:58]:
Obviously, Amazon is a huge investor in Anthropic, so that one makes sense a little bit more in terms of, okay, that's an obvious partner or an obvious, vendor to take over. But, you know, Amazon kind of came to that realization as well, and they're like, yeah. We're gonna use, Anthropic, to power their new Alexa Plus service, which, it's slowly rolling out. I think the latest report said that, there were a million people who, received access, to this so far out of I believe they have, hundreds of millions, of Alexa users worldwide. So it's only a very, very small portion, but it can be done. But will it be done? Because when you think about the demands that Apple is reportedly making, right, in terms of making sure that this works on Apple's private servers, Again, I'm not an AI engineer, but I do, presume that would be fairly difficult to do. And I would guess that's probably one of the reasons that Apple hasn't been able to accomplish this internally, that and they're really not investing in their AI teams. Right? You've seen, you you know, yesterday, we talked on the, you you know, weekly AI news that matters segment just how much money Meta is investing by building their new superintelligence lab.
Jordan Wilson [00:19:25]:
I believe it was called the m, MSL, Meta Superintelligence Labs, led by former, CEO of Scale AI, Alexander Wang, and they just have a bunch of former OpenAI researchers, former Apple researchers, former, Google DeepMind researchers. Like Meta is saying, hey. We're not competing at the level that we want to in generative AI, with large language models. We're gonna go spend billions of dollars. Yeah. There was a, I believe it was a $14,000,000,000 acquisition or, you know, acqui hire essentially for 49% equity and Scale AI. Yet companies like Apple that are literally Scrooge McDucking sitting on piles of cash, right, literally sitting on piles of cash. And they can't invest like, they're not investing in AI talent like the other AI labs are.
Jordan Wilson [00:20:19]:
So it's it's no surprise to me that Apple has failed, internally, to build a team. And it wouldn't surprise me if Apple even isn't able, to negotiate a deal. Because guess what? Now, analysts, are are gonna get wind of this, obviously, that it's, been out now for, about a half day in Bloomberg so far. So we'll see how the market reacts. But what this does create is it creates pressure on Apple now to finalize a deal, that number one, they're comfortable with, but makes sense fiscally. And I don't know, right, if we're saying that Anthropic is asking for multibillion dollar annual partnership that is going to hockey stick year after year. It doesn't seem like they're at a point where they still might be able to hit that, you know, 2027 deadline. Right? Imagine if we get another two years.
Jordan Wilson [00:21:17]:
Imagine if we get to 2028, and Apple still has, like, hardly no, you know, generative AI in their devices. Right? Or if they're like, now you can create, you know, gen mo Genmoji movies. Right? No. No one wants that. Right? We want for Apple users, you want a smart Siri, and you want a powerful edge AI device that actually runs AI. Right? Not just has the capabilities to do it. So Apple has already demonstrated that they can't do it on their own. This is an epic failure.
Jordan Wilson [00:21:53]:
So how the heck do we get there? How how did Apple go from, again, the world's most powerful, profitable, most valuable company to now just on the downslide. Right? And the there's probably a reason why a lot of the top AI talent in the world doesn't wanna work for Apple. Again, look at look at their laughing stock, you know, AI research paper that they put out a couple of weeks ago. Any serious AI researcher reads that, and it's just like, yeah. It's it's like it's it's it's a face palm. Right? No one can take Apple seriously when it comes to AI, which is problematic in many, in many regards. Number one, it's problematic because their consumer facing products are going to clearly lag behind, and they're gonna have to just hire a competitor or open up, it to third party, developers. And hopefully, third party developers will just be able to create great apps that can take advantage of these capabilities.
Jordan Wilson [00:22:53]:
But number two, think about the long run. Right? If the future of innovation is AI, which I strongly believe it is, and if you're listening to this podcast or live stream, you probably are under that realization as well. This does not bode well for Apple's future. If you cannot. Are you still running in circles trying to figure out how to actually grow your business with AI? Maybe your company has been tinkering with large language models for a year or more, but can't really get traction to find ROI on GenAI. Hey. This is Jordan Wilson, host of this very podcast. Companies like Adobe, Microsoft, and NVIDIA have partnered with us because they trust our expertise in educating the masses around generative AI to get ahead.
Jordan Wilson [00:23:47]:
And some of the most innovative companies in the country hire us to help with their AI strategy and to train hundreds of their employees on how to use GenAI. So whether you're looking for ChatGPT training for thousands or just need help building your front end AI strategy, you can partner with us too, just like some of the biggest companies in the world do. Go to your everydayai.com/partner to get in contact with our team, or you can just click on the partner section of our website. We'll help you stop running in those AI circles and help get your team ahead and build a straight path to ROI on GenAI. Build the most important aspect of your company in house, and you're having to pay your competitors to do it for you. That is a sure signal of a company that is going to slide for years to come unless they do something drastic. Right? Something like even more drastic than what, Meta has done over the past month or so by spending, you know, tens of billions of dollars on acquisitions and spending reportedly $100,000,000 plus annual salaries for individual researchers, which I don't see apple doing. Apple's no longer aggressive.
Jordan Wilson [00:25:13]:
They're a dinosaur when it comes to innovation. And this is essentially, you know, there's a lot of reasons, but I think there's also internally, there's this legendary, now in a bad way, secrecy, in Apple. Right? There would be entire departments that would exist for years that other senior leadership in Apple would have no clue about. That doesn't work anymore. Right? You can't be working in secret silos anymore, because your AI needs to be ingrained in your company's DNA. And that Apple perfectionism prevents iterative improvements, approach that AI models require. Right? AI models are not perfect. They need to be constantly, updated in, in, in improved.
Jordan Wilson [00:26:00]:
That is not in Apple's DNA. And we've already seen, you know, two or three years of essentially broken promises as rivals race ahead. Speaking of rivals, let's talk about Google. They did it right. They, they went off to a pretty shaky start. If you remember back to their, December 2023 unveiling of their Bard large language model didn't go very well. They recovered. Now I'd say without a doubt, they are the hottest AI name in the world since, nove, probably December 2024.
Jordan Wilson [00:26:39]:
So the last six or seven months, I don't think most people would argue that Google has been number one in the AI space or at least in that one a, one b with OpenAI. And they successfully integrated, their edge AI across the Android ecosystem. So they proved it could be done with some highly capable small language models. The Gemma family of models from Google that runs their, different, AI smartphones are absolutely amazing. And also, Meta is poaching also Apple's talent, whatever was left. Right? So there's not a lot that I think Apple can do to recover because all they've done is shiny marketing that's led to, class action lawsuits and, research papers that had been widely debunked and ridiculed in the AI research community. There's no longer innovation at apple, which is what they have been historically known for. So here's the hot take this partnership.
Jordan Wilson [00:27:45]:
If it, if this turns out to happen. Right? So this could actually be these talks could be happening right now. And obviously, Apple could pivot again if they can't work something out with anthropic or OpenAI, and they still might be able to figure this out internally, you know, by 2027, which is laughable. Right? But I don't think so. I think this is the beginning of the end for Apple being an innovator in the most important technology because the most important technology in the world right now is in smartphones. They're not AirPods. It is generative AI. And this is the first time that Apple has gone through a major outsourcing of a core intelligence technology in the company's history.
Jordan Wilson [00:28:35]:
Yeah. They partnered with other people. They've, acquired, other companies and brought them under the Apple umbrella. But this is the first time that Apple has done gone through essentially a core piece of technology for their company that they're outsourcing it. Right? If this does, if these reports, are kind of, come to fruition. And this is a public admission that their Apple's famous vertical integration strategy is failing. There it's Apple is failing. And this is, I think, creating a long term dependency on external AI providers that accompany the size of Apple should not have.
Jordan Wilson [00:29:17]:
Speaking of the size of Apple, I talked about this a couple of weeks ago. But when you look at before generative AI. Right? So when you look at, and for our livestream audience, I have a little screenshot on my screen here. Before the the generative AI boom. Right? So if you go back, like, five years, Apple was crushing everyone in terms of market cap. Right? So, that's the most valuable company in the world. Apple was the most valuable company in the world with a $2.2130000000000.00 dollar market cap. Microsoft was fairly far behind, with a $1,600,000,000,000 market cap.
Jordan Wilson [00:30:03]:
Fast forward to today, Apple is third. Right? And their competitors, their some of their closest competitors like Microsoft and Alphabet slash Google, they've grown at a much faster rate than Apple has. And I think one of the main reasons is because of every other company's, investments and results in outputs, in generative AI. Right? When you look at the, the other, most, valuable companies in the world today, NVIDIA, Microsoft, Apple, number three, four, Amazon, five, Google, and six, Meta. Guess what? The other five companies aside from Apple have created measurable, invaluable, generative AI output in house. Right? NVIDIA with their GPUs, they power the AI revolution. Microsoft with its copilot technology, Amazon in a lot of different ways even just aside from AWS and providing infrastructure, but they have their own set of Nova models, in in their Bedrock platform that I think has been very popular. Like I said, alphabet slash Google with the Gemini 2.5 pro is the best model in the world, at least right now, and it's not necessarily close.
Jordan Wilson [00:31:27]:
And then Meta, even though, I'd say their llama four underperformed, they've invested more in the past week in their future AI than I think just about any company has over the course of, like, a two year span. What Meta has done over the past few weeks is unprecedented. Yet you have Apple reportedly not really doing anything aside from trying to cast shade on the entire large language model ecosystem, with some not good research, and hiring their competitors to do the AI for them. The future of work, just the future of our lives is generative AI in the same way that, you know, you could say right now, most of our lives revolve around or are dependent on, the Internet or maybe social media for bad reasons. Right? The same is going to be true and is already proving to be true for generative AI. The future of work, the future of our personal lives is ingrained in and around generative AI. And Apple has signaled, I think, with this, that they are absolutely cooked. And I would not be surprised, and I said this on a previous show.
Jordan Wilson [00:32:48]:
Someone go ahead and bookmark it. I will say in three or four years, I do think that two of the three companies there, Amazon, Google, and, Meta, I do believe two of those three and maybe all three of them will pass Apple when it comes to market cap because this is a lagging impact. Right? The market, I think, is not going to really correct itself on Apple probably for another year or two when they see just how consequential Apple's generative AI failures are. Right? When when, you you know, when large language models become like, you know, a computer screen. Right? They become that, pivotal for every single person who's doing work. It's like, oh, you can't do work without AI. Right? We're not there yet, but we're going to be there soon. And guess who won't be there with their own pocketbook, at least apple, because they're paying other people to be there for them, which makes everyone else's, value go up and their value go down.
Jordan Wilson [00:33:53]:
So the verdict, this is the latest Apple AI crisis, and I'm putting my stamp on this one. This proves Apple's innovation era is over. Alright. This company has transformed transformed, right? When Siri first came out, it it it was a very impressive piece of artificial intelligence. It's barely improved in the decade or so. It's been out. Right? And now because of their constant AI failures, they're forced to make their competitors richer and not get the valuable data that you would get by putting your own models out there for hundreds of millions or in Apple's cases, billions of users. Right? There's billions of Apple devices out there.
Jordan Wilson [00:34:46]:
That's another thing you can't overlook. Apple is not gonna have well, I mean, we'll see what what what the actual, arrangements are, but, presumably, they're not gonna have as much data as they would if they had their own large language models out there. That's why, like, AI success has all has been about users. Right? Which is why some companies like OpenAI, I think, are fine with losing money because they're gaining the valuable data, which helps them make more, more and better models. And I think the cultural and technical failures expose that Apple is officially cooked on generative AI. All right. You heard it here first. Y'all hot take Tuesday.
Jordan Wilson [00:35:29]:
I hope this was helpful. If so, if you're listening on the podcast, reach out, right? I always put, my contact information, email address in the show notes. Reach out if you could, subscribe and follow the show. I'd really appreciate that. Leave us a rating, on Spotify or Apple Podcast if you could. If you're listening, on the live stream or anywhere else, appreciate your support as well. And please go to youreverydayai.com. Sign up for the free daily newsletter.
Jordan Wilson [00:35:57]:
We're gonna be recapping the highlights of today's show as well as keeping you up to date with everything else to be the smartest person in AI at your company. Thank you for tuning in. I hope to see you back tomorrow for putting AI to work Wednesdays and every day for more everyday AI. Thanks, y'all.
