While competitors rush to dominate the artificial intelligence space, Apple is taking a more deliberate path. CEO Tim Cook made it clear during a recent company-wide meeting: Apple is all in on AI — but on its own terms.
Speaking to employees at the company’s Cupertino headquarters, Cook described AI as a transformational moment, likening it to the rise of the internet and the smartphone.
“Apple must do this. Apple will do this,” he said, urging teams across the company to move forward with urgency — but without sacrificing Apple’s trademark standards for quality and privacy.
At the heart of Apple’s AI strategy is a measured rollout. Unlike Microsoft, OpenAI, and Google, which have released AI tools early and often — sometimes riddled with bugs — Apple is opting for a slower, more controlled approach. Its flagship AI initiative, Apple Intelligence, was announced at WWDC 2024 but won’t reach most users until 2025 or even 2026.
Critics have questioned whether Apple is falling behind, but the company seems confident in its timing. Historically, Apple has waited to enter markets until its products are polished — as it did with the Apple Watch and iPad — and still managed to dominate. Now, it's betting that users will value reliability over speed in an era where many AI tools still struggle with accuracy and consistency.
Internally, the push is anything but passive. Cook said Apple hired 12,000 new employees in the past year, with 40% focused on research and development — many in AI. The company is also building new AI infrastructure, including custom chips like the “Baltra” server chip and a dedicated data center in Houston.
A major part of the AI effort centers on Siri. Apple initially planned to retrofit its voice assistant with generative AI, but technical limitations forced a rethink. The hybrid model — using the old Siri for simple tasks and a new AI layer for complex ones — didn’t meet Apple’s expectations. As a result, the Siri team is starting over. A redesigned Siri, rebuilt from the ground up, is expected to launch in spring 2026.
Leading this transformation is Mike Rockwell, the executive behind Apple Vision Pro. Under his direction, the new Siri project has reportedly picked up momentum, with promising early results.
Software chief Craig Federighi told employees, “There is no project people are taking more seriously.”
Apple is also investing in broader AI capabilities. A new internal team called “Answers, Knowledge, and Information” (AKI) is working on search tools that could eventually rival ChatGPT by offering direct, conversational answers instead of traditional web links. The team, led by Robby Walker under AI chief John Giannandrea, is already hiring engineers and building backend systems for what could become a core Apple feature — or even a new standalone app.
Cook is also pushing for AI to be integrated into Apple’s internal workflows.
“All of us are using AI in a significant way already, and we must use it as a company as well,” he said, encouraging employees to experiment and move faster.
This push comes as Apple reported strong earnings, with nearly 10% growth in the June quarter. That performance helped calm investor concerns about slowing iPhone sales and weak demand in China. On the earnings call, Cook signaled that AI investment would rise “significantly” in the months ahead.
Still, Apple faces challenges. A $1.1 billion tariff hit is expected this quarter, and regulators in the U.S. and Europe are increasing scrutiny over the App Store and Apple’s handling of user data. Cook acknowledged these pressures, saying the company would work to shape regulation in ways that protect user privacy and experience.
Beyond AI, Apple is doubling down on its global retail presence. Cook said the company plans to open new stores in India, the UAE, China, and Saudi Arabia. Online retail is also getting more focus. “We need to be in more countries,” Cook said, pointing to emerging markets as key growth areas.
As for future products, Cook didn’t give specifics but hinted at a packed pipeline. Rumors point to a foldable iPhone, smart glasses, updated home devices, and even robotics — along with a potential iPhone redesign for its 20th anniversary next year.
“I have never felt so much excitement and so much energy before as right now,” Cook told employees. “Some of it you’ll see soon, some of it will come later, but there’s a lot to see.”
