Apple Faces Delays in AI Rollout as iPhone Sales Decline

Apple’s artificial intelligence ambitions are facing setbacks as the company announces delays to its next-generation Siri, a cornerstone of its AI strategy. Initially expected to launch earlier, the enhanced Siri will now be released later this year, raising concerns about Apple’s AI roadmap and its impact on iPhone upgrades. The delay follows declining iPhone sales, with Apple reporting a year-over-year dip in its latest quarterly results.

The company is also struggling to bring Apple Intelligence to China, a critical market where AI-powered features are a key selling point. Competitors such as Xiaomi and Honor are quickly gaining traction with advanced AI capabilities, further pressuring Apple’s position.

Market analysts have responded to the delay with caution. Morgan Stanley’s Erik Woodring revised Apple’s price target downward, citing potential disruptions to upgrade cycles through 2025 and 2026. Industry experts note that Apple’s staggered AI rollout has made the iPhone 16 less compelling, particularly as Samsung and Google continue expanding AI-driven features.

Despite the challenges, Apple remains a formidable player in AI. Some analysts suggest that, like previous Apple products that gained traction over time, the company may ultimately refine and successfully integrate its AI offerings. However, the delay raises questions about Apple’s ability to keep pace in an increasingly competitive AI landscape.

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