Apple's iPhone 16 to Feature ARM's Next-Gen AI Chip Technology

iPhone 16 To Feature Arm's Next-Gen AI Chip Technology, What You Should Know About Apple's Move - ARM Holdings (NASDAQ:ARM)

The upcoming iPhone 16 series from Apple Inc. AAPL will be powered by ARM Holdings ARM latest chip technology, designed to improve AI capabilities. What Happened: The new iPhone will be launched on Monday during the "Glowtime" event, featuring a next-generation chip based on Arm's newest design architecture, reported Financial Times. This move is part of Apple's ongoing efforts to integrate advanced AI features into its smartphones. The A18 chip, which will be unveiled at Apple's event, is based on the V9 chip design from Arm, a SoftBank-owned company, the report noted, citing sources familiar with the matter. See Also: DOJ Probes Google's AI Strategy As It Looks To Snap Its Monopoly In Search Arm's CEO, Rene Haas, has previously stated that the V9 chip generates double the royalties of its predecessor, the V8. Arm's chip architecture provides the foundational instructions for the chip, with the company earning revenue through both licensing and royalties. Apple has already incorporated Arm's V9 architecture into its latest M4 MacBook chips, which were announced in May. The company has also been focusing on transforming itself into an AI-centric company, introducing several features under the umbrella of "Apple Intelligence." However, the increased computational demands of running AI models on a compact device necessitate advancements in chip technology. Subscribe to the Benzinga Tech Trends newsletter to get all the latest tech developments delivered to your inbox. Why It Matters: In July, Arm reported its first-quarter financial results earnings of 40 cents per share, surpassing the analyst consensus estimate of 34 cents by 17.65%. Quarterly sales reached $939 million, exceeding the consensus estimate of $902.691 million by 4.02%, driven by record license revenue and significant growth in royalty revenue. Apple's focus on AI has also been evident in its recent activities. In August, Apple's CEO Tim Cook highlighted the company's 'breakthrough' AI platform during the third-quarter earnings call, indicating a strategic shift towards AI. Image via Trusted Reviews Check out more of Benzinga's Consumer Tech coverage by following this link. Read Next: Apple Launched iPod Nano 19 Years Ago: If You Invested $1000 In Apple Stock When Steve Jobs Revealed His Vision For Music, Here's How Much You'd Have Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Market News and Data brought to you by Benzinga APIs

Arm Chips to Power Next-Gen iPhone AI

The move marks a significant shift in Apple's strategy for mobile computing According to a report by the Financial Times on Saturday, the highly awaited iPhone will have an A18 chip manufactured with the firm Arm's most advanced V9 chip design. The upscale chip design offers better AI and machine learning in the iPhone making it a revolutionary phone. More specifically, giant leaps will be driven into AI activities such as Face ID, augmented reality, and real-time processing in this latest iPhone. This hardware innovation could make a great difference in terms of speed and generally in performance for users, hence, this may give Apple a competitive advantage in the market.