Apple Unveils iPhone 16 with AI-Powered Features, Betting on 'Intelligence' to Boost Sales

Apple Intelligence a big draw for iPhone 16 line. But is it enough?

Apple unveiled the iPhone 16 range with on-device artificial intelligence capabilities across the models. While the return of college and NFL football may mark the start of fall for many people, in the tech world, it's Apple's annual September launch event that denotes the new season. Every year, the company trots out its latest iPhones and wearable devices, like Apple Watch and AirPods, and waxes poetic about its latest hardware advances. This year, however, things were a bit different. Sure, Apple did unveil a family of iPhone 16s, the Watch Series 10, and several new AirPod models, but the real focus was software - specifically, the company's Apple Intelligence AI features. First announced at the WWDC developer conference in June (see "Apple's WWDC showcases AI to make daily tasks easier" for more), Apple Intelligence provides a number of capabilities powered by generative AI that are designed to make the experience of using your iPhone (any of the new iPhone 16s or last year's iPhone 15 Pro and Pro Max) better and more intuitive. What does Apple Intelligence bring to the phone? Chief among these capabilities is a new version of Siri that's designed to be much smarter and more relevant than previous versions. You can use it to more easily find information on your phone - such as a recipe that you can't remember if it was texted, emailed or included in a shared document. In addition, it now has the ability to "see" and understand what you're doing on your phone and can provide useful guidance on next steps to take. Or, if you want to know how to take advantage of a particular feature - such as turning on a personal hotspot or taking a panoramic photo - Siri now has that intelligence built in. The experience of using Siri has also changed thanks to a colorful glowing light around the edge of the screen when it's engaged. Apple also added the ability to type into Siri if you'd rather not speak and, if you do speak, to better understand your requests, even if you change things midstream. On the photos side, Apple has added a Clean Up feature that lets you easily remove an element (or person) from your photos, similar to what Google has offered on its Pixel phones for over a year now. One unique Apple feature is the ability to create custom genmojis by simply typing in a description - this is bound to be a hit, especially among enthusiastic emoji users. Like other AI offerings, Apple has integrated tools for creating animation-style images from a text-based prompt or simple drawing. It has also enhanced the ability to do specific text-based searches of images - simple requests have been possible for a while on other iPhones - to make it easier to find exactly what you're looking for. You can also request that your iPhone make custom slide shows with a text description, giving you more control over that capability. On the text-based side of things, Apple offers text generation for documents and emails, the ability to change the "tone" of the writing, text summarization capabilities, and more. Again, most of these are available via other cloud-based AI Large Language Models, but by integrating it into the iPhone, Apple will be bringing this capability to many more people. One of the more clever and unique text-based capabilities Apple introduced can summarize and prioritize your emails in the Mail app and notifications on your home screen. So, instead of just seeing the first two lines of an email or notification, you can quickly see a summary of the critical information - and in a prioritized order. For people who deal with lots of emails, texts, and other notifications this could prove to be a huge time saver. Plus, it's exactly the kind of simplified advancement that many people were hoping Apple could bring to the world of AI. Of course, it's also probably something that other companies will quickly replicate, but in these early days of AI, improvements in how features get implemented are important. Will Apple's AI sell iPhones? The real question when it comes to Apple Intelligence, however, is will it be compelling enough to get people who own older iPhones to upgrade to one of the newer AI capable models? From my perspective, the jury is still out on this question for several reasons. First, many of these capabilities will roll out over the course of several months and they're initially limited to English language only, so they don't have an immediate payback for everyone (and will limit their adoption around the world). Second, as people get used to using some of these AI capabilities on the device, they may want to start using some of the more advanced capabilities offered by cloud-based providers. Thankfully, Apple does have an arrangement with OpenAI's ChatGPT that's free of charge, allowing people to start investigating those more advanced options. Still, many owners of older iPhones may find that some of the cloud-based services are good enough - or even better for some applications - and won't feel compelled to upgrade to a new iPhone. In Apple's defense, many of their Apple Intelligence features run directly on the iPhone and don't send any data to the cloud, which improves privacy, but it seems many people don't care as much about privacy as one might imagine. Ultimately, the Apple Intelligence capabilities are an important first step, especially because of the huge audience of iPhone users, but they are only the beginning. AI-based features will not change things overnight and even Apple knows the integration of these capabilities is going to be a multiyear process. Still, if you're eager to begin exploring AI, Apple is providing a broad range of AI-capable phones and some genuinely useful AI features to get that process started. USA TODAY columnist Bob O'Donnell is the president and chief analyst of TECHnalysis Research, a market research and consulting firm. You can follow him on Twitter @bobodtech. The views and opinions expressed in this column are the author's and do not necessarily reflect those of USA TODAY.

Everything you missed about iPhone 16, Apple Intelligence

Image credit: NIC COURY/ Getty Images Apple on Monday unveiled its long-awaited, artificial intelligence-boosted iPhone 16 and promised improvements in its Siri personal assistant as it rolled out new software, beginning in test mode next month. "The next generation of iPhone has been designed for Apple Intelligence from the ground up. It marks the beginning of an exciting new era," chief executive Tim Cook said at a product launch. Apple's shares closed barely changed for the day at $220.91. Apple's event came hours before China's Huawei launched a tri-fold phone, underscoring the competitive challenge the iPhone maker faces. Apple has yet to announce an AI partner in China to power the 16s. Apple and technology companies around the world are racing to add AI to products, and phones are expected to be among the most important battlegrounds. The Cupertino, California-based company also is betting the AI feature will drive consumers to upgrade amid a slowdown in iPhone sales. Apple Intelligence, the company's AI software, will be used to improve Siri as well as enhancing features such as understanding and identifying objects captured by the phone camera, executives said. Apple said a test version of Apple Intelligence will be available in the US version of English next month. It will be available for other localised versions of English in December and versions in languages including Chinese, French, Japanese, and Spanish next year. Features, including improvements to Siri, will be rolled out over time, Apple said. It did not say, however, when it would move beyond the test. The iPhone 16 and 16 Plus will cost the same as the models. They replace and use a new chip and an aluminium case. A customisable button that can control the camera was one of the most touted hardware features in a format that looks similar to previous models. The higher-end 16 Pro and 16 Pro Max are made from titanium and have more AI capabilities, such as offering suggestions on how to set up a photo shoot more effectively and audio-editing capabilities aimed at professional-level video production. Apple's new iPhone chips use the latest version of Arm's ARM.O architecture that includes specific features to speed AI applications. "Existing iPhone users who have had their device for 3-4 years will definitely be enticed to upgrade, even if some things are rolling out later, as this will future-proof their device for AI," said International Data Corp analyst Nabila Popal. Still, several analysts described the delays in features as initially keeping many potential buyers on the sidelines. "You might see people wait a little bit to see how these things work out, how well they function, and then they'll start to investigate it. But I don't think we'll see the mad rush that we've seen in years past," said TECHnalysis Research founder Bob O'Donnell. By comparison, Huawei's website showed on Monday that it had garnered more than three million pre-orders for its Z-shaped tri-fold phone ahead of its official unveiling. This underscores Huawei's ability to navigate US sanctions and solidifies its position against Apple in China, where consumers are hankering for more AI features and are willing to pay for them. Apple Watches and AirPods Apple also unveiled new Watches and AirPods with health-focused capabilities and hardware-design improvements. Apple highlighted the Watch's ability to discover longer-term health conditions such as sleep apnea and detect and respond to emergencies such as a fall. As it updated AirPods, Apple rolled out hearing-aid features that it has submitted for US regulatory review. Apple fans globally have been waiting to see the new phones with AI. iPhones accounted for more than half of Apple's $383 billion sales last year. "While Android phones may have some of these features, Apple has packaged them well and will be able to market them far more broadly," said D.A. Davidson analyst Gil Luria. China offers particular challenges to Apple. "Apple fell out of the list of top five smartphone vendors in China in Q2," said eMarketer senior technology analyst Gadjo Sevilla. "It was the first time that China's domestic smartphone firms held all five spots. Since Apple Intelligence still needs to be approved by Beijing for a rollout in China, it will likely not initially be a key driver for adoption in the region." In China, Apple aggressively slashed prices earlier this year, prompted by government restrictions and increased domestic competition. The iPhone 16 lineup is the first Apple smartphone designed around these AI features, though they are expected to also be available on iPhone 15 Pro and Pro Max, the top-end versions of the previous-generation devices. Rivals, including Alphabet's Google, are also showcasing AI features to try to upend Apple's dominance in the high-end smartphone market. Google, developer of the Android operating system, which competes with Apple's iOS, focused its Pixel smartphone rollout event in August on AI features, including Gemini Live, which allows users to hold live voice conversations with a digital assistant. Many of the AI features Google announced were also rolled out to Android-based devices made by manufacturers such as Samsung and Motorola. Read: Google launches enhanced Pixel phones in bid to leverage AI tech

Apple debuts iPhone 16 with test AI software rolling out this year and next

Apple and technology companies around the world are racing to add AI to products, and phones are expected to be among the most important battlegrounds. The Cupertino, California-based company also is betting the AI feature will drive consumers to upgrade amid a slowdown in iPhone sales. Apple Intelligence, the company's AI software, will be used to improve Siri as well as enhancing features such as understanding and identifying objects captured by the phone camera, executives said. A test version of Apple Intelligence will be available in the U.S. version of the English language next month. It will be available for other localized versions of English in December, with versions in languages including Chinese, French, Japanese and Spanish next year. Features including improvements to Siri will be rolled out over time, Apple said. It did not say, however, when it would move beyond test. The iPhone 16 and 16 Plus will cost the same as models they replace and use a new chip and an aluminum case. A customizable button that can control the camera was one of the most touted hardware features in a format that looks similar to previous models. The higher-end 16 Pro and 16 Pro Max are made from titanium and have more AI capability, such as offering suggestions on how to set up a photo shoot more effectively and audio-editing capabilities aimed at professional-level video production. Apple's new iPhone chips use the latest version of Arm's architecture that includes specific features to speed AI applications. "Existing iPhone users who have had their device for 3-4 years will definitely be enticed to upgrade, even if some things are rolling out later, as this will future-proof their device for AI," said International Data Corp analyst Nabila Popal. Still, several analysts described the delays in features as keeping many potential buyers on the sidelines initially. "You might see people wait a little bit to see how these things work out, how well they function, and then they'll start to investigate it. But I don't think we'll see the mad rush that we've seen in years past," said TECHnalysis Research founder Bob O'Donnell. By comparison, Huawei's website showed on Monday that it had garnered more than 3 million pre-orders for its Z-shaped tri-fold phone ahead of its official unveiling. This underscores Huawei's ability to navigate U.S. sanctions and solidifies its position against Apple in China, where consumers are hankering for more AI features and are willing to pay for them. Apple also unveiled new Watches and AirPods with health-focused capabilities, as well as hardware-design improvements. Apple highlighted the Watch's ability to discover longer-term health conditions such as sleep apnea as well as detecting and responding to emergencies such as a fall. As it updated AirPods, Apple rolled out hearing-aid features that it has submitted for U.S. regulatory review. Apple fans globally have been waiting to see the new phones with AI. IPhones accounted for more than half of Apple's $383 billion sales last year. "While Android phones may have some of these features, Apple has packaged them well and will be able to market them far more broadly," said D.A. Davidson analyst Gil Luria. "Apple fell out of the list of top five smartphone vendors in China in Q2," said eMarketer senior technology analyst Gadjo Sevilla. "It was the first time that China's domestic smartphone firms held all five spots. Since Apple Intelligence still needs to be approved by Beijing for a rollout in China, it will likely not initially be a key driver for adoption in the region." In China, Apple aggressively slashed prices earlier this year, prompted by government restrictions and increased domestic competition. The iPhone 16 lineup is the first Apple smartphones designed around these AI features though those are expected also to be available on iPhone 15 Pro and Pro Max, the top-end versions of the previous-generation devices. Rivals including Alphabet's Google are also showcasing AI features to try to upend Apple's dominance in the high-end smartphone market. Google, developer of the Android operating system which competes with Apple's iOS, focused its Pixel smartphone rollout event in August on AI features including Gemini Live, which allows users to hold live voice conversations with a digital assistant. Many of the AI features Google announced were also rolled out to the Android-based devices made by manufacturers such as Samsung and Motorola. In June, one week after its developer conference, Apple said it would delay the release of AI-powered features in Europe due to European Union tech rules. Huawei has scheduled an official announcement of its Mate XT Z-fold phone on Tuesday in China. (Reporting by Max Cherney in Cupertino, California, and Kenrick Cai in San Francisco; additional reporting by Yuvraj Malik, Arsheeya Bajwa, Aatrayee Chatterjee, L Unnamalai and Zaheer Kachwala in Bengaluru; Writing by Peter Henderson; Editing by Kenneth Li and Matthew Lewis)

AI will not fix Apple's sluggish iPhone sales any time soon

Bling is in the air. On September 9th Apple released its latest iPhone 16 series at an event called "It's Glowtime". The name referred to the sheen around Siri, its souped-up voice assistant. But it was just as appropriate for the new colour of its snazziest iPhone 16 Pro model: "desert titanium" -- in other words, gold. A bit lacking, though, was zing. Tim Cook, the company's chief executive, played up the promise of the phones' generative artificial-intelligence (AI) features, which he trailed with much hoopla in June under the moniker "Apple Intelligence". But though the devices come with Apple's new superfast A18 chips to power AI, iPhone buyers will have to wait until at the earliest October for the first features -- and only then in beta. The demos look ho-hum. If you point the camera at a restaurant, Apple Intelligence can tell you what's on the menu. You can type a request to Siri, as well as ask it questions. Investors hope that eventually more conversational and personalised AI features will reboot iPhone sales, which account for about half of Apple's revenues but have sagged lately. They could be waiting a while. Apple is one of many firms that want to take generative AI beyond giant data centres, known as the cloud, and run it on smaller devices, known as the edge. Samsung, Apple's Android-based smartphone rival, got a head start, launching its Galaxy S24 with some generative-AI features earlier this year. So did Microsoft, which has launched Windows PCs designed for AI, called Copilot+. But by and large the market is still up for grabs. Cracking it will not be easy. Today large language models (LLMs) are mostly trained on graphics processing units (GPUs) that require so much energy it can take a nuclear-power plant to fuel them. They also need huge amounts of memory and unfathomable quantities of data. All that can cost hundreds of millions of dollars. Even once they are trained, running these mega-models is expensive. According to one estimate, it costs OpenAI, the maker of ChatGPT, 36 cents every time someone asks its bot a question. Edge devices instead deploy smaller models, distilled from their cloud-based big brothers. These are cheaper, and also faster. The goal is to reach such low levels of latency that response times feel almost human. Edge AI can also learn about a user from their interactions with their device (Apple calls this "semantic indexing"). For instance, it will know if a user's mother is calling and act appropriately. In practice, however, shifting AI to the edge is not straightforward. One problem is performance. Complex queries, such as using an AI bot to plan a holiday, will still require cleverer cloud-based LLMs. Another problem is computational power. Even smaller AI models require oodles of it to run, quickly draining a device's batteries. Companies are experimenting with various solutions to these problems. Apple Intelligence will offer on-device AI as a first port of call, but send trickier queries to the firm's private cloud. The service will direct the most idiosyncratic requests to third-party LLMs such as ChatGPT. Apple promises to do so only with the user's permission, but the approach could still worry the privacy-conscious. Devices, especially smartphones, have access to vast amounts of users' personal data: whom they call, where they live, what they spend, what they look like. Some may prefer that if generative AI tools use any of that information, it remains on-device. Tech firms are also making use of alternatives to GPUs that are less energy-hungry, such as neural processing units (NPUs), to run AI models on the edge. Qualcomm, which makes NPUs and various other chips for edge devices, talks about maximising "performance per watt". Compared with GPUs, whose costs can be stratospheric, NPUs are also cheaper. No one, after all, wants a phone that costs as much as a data centre. Plenty of firms have an interest in shifting AI to devices. Cloud-based LLMs are heavily dependent on Nvidia, the leading maker of GPUs. When it comes to edge AI, by contrast, "there's nobody that dominates," says Taner Ozcelik, a former Nvidia executive who now runs Mythic, a startup making energy-efficient chips for AI devices. Although no single firm may gain as much from edge AI as Nvidia has from the cloud variety, there would still be big winners, says Neil Shah of Counterpoint, a research firm. Making the technology work could not only trigger a supercycle in device sales, but also create new opportunities for apps and digital advertising. For the moment, though, edge AI is barely ready for showtime, let alone Glowtime. © 2024, The Economist Newspaper Ltd. All rights reserved.

Are Apple's new features enough to drive iPhone sales? Maybe not

Nvidia stock is navigating one of its most turbulent weeks ever Just 18% of consumers buy a new iPhone to get their hands on new features -- whether those might be a better camera, faster processing, or a brighter display, according to a Consumer Intelligence Research Partners (CIRP) survey released last week. Meanwhile, a majority of iPhone users upgrade their smartphones once they become obsolete, or are stolen or damaged. "Needless to say, as always we'll see a rush of buyers for the new iPhone lineup," the CIRP reported noted. "The number that are drawn by the upgraded features may be the minority, however." That could create a headache for Apple, which is hoping to drive an upgrade cycle with a swath of new features, including faster chips, new buttons, and an operating software designed to support its new generative AI initiative, Apple Intelligence. Given the high processing power needed to run Apple Intelligence, fewer than 10% of current iPhone users would be able to upgrade their devices to use the new AI features, according to Bloomberg. Apple Intelligence will only be available on iPhone 15 Pro models and higher. Wedbush analysts led by Dan Ives said in a research note Monday that this could be Apple's most successful iPhone launch ever. With the introduction of Apple Intelligence, Apple could kick off the "biggest upgrade cycle in its history," including growth in China, where sales have lagged. According to Wedbush estimates, Apple could sell upwards of 240 million iPhones worldwide in the next fiscal year thanks to this AI-driven upgrade cycle. Roughly 300 million iPhones have not been upgraded in more than four years. Apple reported sales of almost $86 billion for the quarter ended June 29, up 5% from a year earlier and topping Wall Street estimates. But the company continues to face growing competition in China, including from Chinese smartphone maker Huawei, which has been a drag on its sales. Ives has said Apple Intelligence and the iPhone 16 could help breathe new life into its China business. For many consumers, the price of the iPhone 16 may also be right. Apple didn't raise the price of its flagship Pro models, keeping them at $999 for the Pro and $1,199 for the Pro Max -- the same price as its iPhone 15 Pro lineup. Ives believes this may be part of an effort not to drive away buyers that are considering making the switch. Morningstar (MORN) equity analyst William Kerwin said Apple Intelligence -- including the iPhone 16 and subsequent models -- could help drive a "multi-year growth cycle," even for people who may not be the first to line up outside of the Apple store on Sept. 20. "There will be consumers, in our view, that might not upgrade in that first year," Kerwin said, "but then as you get word around, and as Apple adds more features and functionality to Apple Intelligence... it should drive a multi year upgrade cycle." In fact, a Morgan Stanley (MS) survey carried out by AlphaWise found that 60% of iPhone users who plan to upgrade within the next 12 months say Apple Intelligence is important to their decision. Early AI features will launch as a software update in beta in October, with more features rolling out in the following months. But Morningstar's Kerwin said the slower, more staggered rollout won't reflect negatively on Apple or Apple Intelligence. "It just shows Apple is not going to put a product out until it is perfect in their eyes," he said. "It's more important for them to release a 'perfect' product versus a rushed product a month in advance, because once you put out a sub-quality product, that can create reputation issues."

Apple's AI gap in new iPhones hits China users as Huawei threat looms

Apple unveiled its long-awaited, AI-boosted iPhone 16 on Monday, hoping the new features would drive consumers to upgrade amid a slowdown in its smartphone sales, which account for more than half of its total sales. But Apple has yet to announce an AI partner in China to power the 16s, and Apple Intelligence, the company's AI software, will be available in Chinese language only next year. The iPhone 16 launch dominated discussions on Chinese social media on Tuesday, ahead of Huawei's unveiling of a three-way foldable smartphone later in the day. On Weibo, China's X-like platform, three of the top 10 trending topics were related to the iPhone 16 launch, with AI features among a key topic of discussion. The hashtag "iPhone 16 Chinese version doesn't support AI yet" attracted 11.33 million views and over 1,500 comments on Weibo. "What's the point of buying it if you can't use AI?" wrote one Weibo user. Another commented, "Without AI as the biggest selling point, it should be half price." The iPhone 16 and 16 Plus will cost the same as models they replace. In China, Apple aggressively slashed prices earlier this year, as government restrictions on the use of foreign-branded phones and increased domestic competition weighed on its smartphone sales. Other users on Weibo compared Apple's launch with Huawei's new phone, due to be released as the Chinese firm seeks to widen its lead over Apple in its home market. "Whether iPhone 16 has AI or not doesn't affect me, because I'm going to buy Huawei's tri-fold phone," one Weibo user wrote, underscoring the growing popularity of Huawei's latest models in China that helped it replace Apple as the country's No.3 smartphone vendor in the second quarter. But some analysts predicted the absence of AI features in the iPhone 16 was unlikely to have a big impact on near term sales. "Chinese consumers are not yet driven to upgrade by AI capabilities ... However, in the long run, as domestic brands use AI as a key differentiator for their flagship products, it will negatively affect Apple," said Toby Zhu, an analyst at technology market research firm Canalys. Zhu said Apple needs to localise its offerings and swiftly establish an AI application and service ecosystem in China to remain competitive. Apple's powerful operating system remains a draw for Chinese consumers, according to Will Wong, an analyst at IDC. "The key competitive advantage of Apple is its strong customer stickiness. Thus, the replacement needs of the users of the iPhone 11, 12, or 13 series could still support the sales of Apple in the absence of AI." "It's still too early to say who will win," Wong said. Pre-orders for the new iPhone start on Friday in China through online retailers such as JD.com, with deliveries beginning on Sept. 20.

Apple's AI gap in new iPhones disappoints China users as Huawei threat looms

BEIJING (Reuters) - Apple's new iPhone launch drew scorn on Tuesday for its lack of artificial intelligence features in China, a challenge for the U.S. giant as it battles growing competition from Huawei Technologies in the world's largest smartphone market. Apple unveiled its long-awaited, AI-boosted iPhone 16 on Monday, hoping the new features would drive consumers to upgrade amid a slowdown in its smartphone sales, which account for more than half of its total sales. But Apple has yet to announce an AI partner in China to power the 16s, and Apple Intelligence, the company's AI software, will be available in Chinese language only next year. The iPhone 16 launch dominated discussions on Chinese social media on Tuesday, ahead of Huawei's unveiling of a three-way foldable smartphone later in the day. On Weibo, China's X-like platform, three of the top 10 trending topics were related to the iPhone 16 launch, with AI features among a key topic of discussion. The hashtag "iPhone 16 Chinese version doesn't support AI yet" attracted 11.33 million views and over 1,500 comments on Weibo. "What's the point of buying it if you can't use AI?" wrote one Weibo user. Another commented, "Without AI as the biggest selling point, it should be half price." The iPhone 16 and 16 Plus will cost the same as models they replace. In China, Apple aggressively slashed prices earlier this year, as government restrictions on the use of foreign-branded phones and increased domestic competition weighed on its smartphone sales. Other users on Weibo compared Apple's launch with Huawei's new phone, due to be released as the Chinese firm seeks to widen its lead over Apple in its home market. "Whether iPhone 16 has AI or not doesn't affect me, because I'm going to buy Huawei's tri-fold phone," one Weibo user wrote, underscoring the growing popularity of Huawei's latest models in China that helped it replace Apple as the country's No.3 smartphone vendor in the second quarter. But some analysts predicted the absence of AI features in the iPhone 16 was unlikely to have a big impact on near term sales. "Chinese consumers are not yet driven to upgrade by AI capabilities ... However, in the long run, as domestic brands use AI as a key differentiator for their flagship products, it will negatively affect Apple," said Toby Zhu, an analyst at technology market research firm Canalys. Zhu said Apple needs to localise its offerings and swiftly establish an AI application and service ecosystem in China to remain competitive. Apple's powerful operating system remains a draw for Chinese consumers, according to Will Wong, an analyst at IDC. "The key competitive advantage of Apple is its strong customer stickiness. Thus, the replacement needs of the users of the iPhone 11, 12, or 13 series could still support the sales of Apple in the absence of AI." "It's still too early to say who will win," Wong said. Pre-orders for the new iPhone start on Friday in China through online retailers such as JD.com, with deliveries beginning on Sept. 20. (Reporting by Liam Mo and Casey Hall; Editing by Miyoung Kim and Sonali Paul)

Apple's AI gap in new iPhones disappoints China users as Huawei threat looms

BEIJING, Sept 10 (Reuters) - Apple's (AAPL.O), opens new tab new iPhone launch drew scorn on Tuesday for its lack of artificial intelligence features in China, a challenge for the U.S. giant as it battles growing competition from Huawei Technologies (HWT.UL) in the world's largest smartphone market. Apple unveiled its long-awaited, AI-boosted iPhone 16 on Monday, hoping the new features would drive consumers to upgrade amid a slowdown in its smartphone sales, which account for more than half of its total sales. But Apple has yet to announce an AI partner in China to power the 16s, and Apple Intelligence, the company's AI software, will be available in Chinese language only next year. The iPhone 16 launch dominated discussions on Chinese social media on Tuesday, ahead of Huawei's unveiling of a three-way foldable smartphone later in the day. On Weibo, China's X-like platform, three of the top 10 trending topics were related to the iPhone 16 launch, with AI features among a key topic of discussion. The hashtag "iPhone 16 Chinese version doesn't support AI yet" attracted 11.33 million views and over 1,500 comments on Weibo. "What's the point of buying it if you can't use AI?" wrote one Weibo user. Another commented, "Without AI as the biggest selling point, it should be half price." The iPhone 16 and 16 Plus will cost the same as models they replace. In China, Apple aggressively slashed prices earlier this year, as government restrictions on the use of foreign-branded phones and increased domestic competition weighed on its smartphone sales. Other users on Weibo compared Apple's launch with Huawei's new phone, due to be released as the Chinese firm seeks to widen its lead over Apple in its home market. "Whether iPhone 16 has AI or not doesn't affect me, because I'm going to buy Huawei's tri-fold phone," one Weibo user wrote, underscoring the growing popularity of Huawei's latest models in China that helped it replace Apple as the country's No.3 smartphone vendor in the second quarter. But some analysts predicted the absence of AI features in the iPhone 16 was unlikely to have a big impact on near term sales. "Chinese consumers are not yet driven to upgrade by AI capabilities ... However, in the long run, as domestic brands use AI as a key differentiator for their flagship products, it will negatively affect Apple," said Toby Zhu, an analyst at technology market research firm Canalys. Zhu said Apple needs to localise its offerings and swiftly establish an AI application and service ecosystem in China to remain competitive. Apple's powerful operating system remains a draw for Chinese consumers, according to Will Wong, an analyst at IDC. "The key competitive advantage of Apple is its strong customer stickiness. Thus, the replacement needs of the users of the iPhone 11, 12, or 13 series could still support the sales of Apple in the absence of AI." "It's still too early to say who will win," Wong said. Pre-orders for the new iPhone start on Friday in China through online retailers such as JD.com, with deliveries beginning on Sept. 20. Reporting by Liam Mo and Casey Hall; Editing by Miyoung Kim and Sonali Paul Our Standards: The Thomson Reuters Trust Principles., opens new tab

Apple's AI gap in new iPhones disappoints China users as Huawei threat looms

But Apple has yet to announce an AI partner in China to power the 16s, and Apple Intelligence, the company's AI software, will be available in Chinese language only next year. The iPhone 16 launch dominated discussions on Chinese social media on Tuesday, ahead of Huawei's unveiling of a three-way foldable smartphone later in the day. On Weibo, China's X-like platform, three of the top 10 trending topics were related to the iPhone 16 launch, with AI features among a key topic of discussion. The hashtag "iPhone 16 Chinese version doesn't support AI yet" attracted 11.33 million views and over 1,500 comments on Weibo. "What's the point of buying it if you can't use AI?" wrote one Weibo user. Another commented, "Without AI as the biggest selling point, it should be half price." The iPhone 16 and 16 Plus will cost the same as models they replace. In China, Apple aggressively slashed prices earlier this year, as government restrictions on the use of foreign-branded phones and increased domestic competition weighed on its smartphone sales. Other users on Weibo compared Apple's launch with Huawei's new phone, due to be released as the Chinese firm seeks to widen its lead over Apple in its home market. "Whether iPhone 16 has AI or not doesn't affect me, because I'm going to buy Huawei's tri-fold phone," one Weibo user wrote, underscoring the growing popularity of Huawei's latest models in China that helped it replace Apple as the country's No.3 smartphone vendor in the second quarter. But some analysts predicted the absence of AI features in the iPhone 16 was unlikely to have a big impact on near term sales. "Chinese consumers are not yet driven to upgrade by AI capabilities ... However, in the long run, as domestic brands use AI as a key differentiator for their flagship products, it will negatively affect Apple," said Toby Zhu, an analyst at technology market research firm Canalys. Zhu said Apple needs to localise its offerings and swiftly establish an AI application and service ecosystem in China to remain competitive. Apple's powerful operating system remains a draw for Chinese consumers, according to Will Wong, an analyst at IDC. "The key competitive advantage of Apple is its strong customer stickiness. Thus, the replacement needs of the users of the iPhone 11, 12, or 13 series could still support the sales of Apple in the absence of AI." "It's still too early to say who will win," Wong said. Pre-orders for the new iPhone start on Friday in China through online retailers such as JD.com, with deliveries beginning on Sept. 20. (Reporting by Liam Mo and Casey Hall; Editing by Miyoung Kim and Sonali Paul)

Apple's AI gap in new iPhones hits China users as Huawei threat looms

Apple's new iPhone launch drew scorn on Tuesday for its lack of artificial intelligence features in China, a challenge for the US giant as it battles growing competition from Huawei Technologies in the world's largest smartphone market. Apple unveiled its long-awaited, AI-boosted iPhone 16 on Monday, hoping the new features would drive consumers to upgrade amid a slowdown in its smartphone sales, which account for more than half of its total sales. Click here to connect with us on WhatsApp But Apple has yet to announce an AI partner in China to power the 16s, and Apple Intelligence, the company's AI software, will be available in Chinese language only next year. The iPhone 16 launch dominated discussions on Chinese social media on Tuesday, ahead of Huawei's unveiling of a three-way foldable smartphone later in the day. On Weibo, China's X-like platform, three of the top 10 trending topics were related to the iPhone 16 launch, with AI features among a key topic of discussion. The hashtag "iPhone 16 Chinese version doesn't support AI yet" attracted 11.33 million views and over 1,500 comments on Weibo. More From This Section SpaceX to launch billionaire's pvt crew on breakthrough spacewalk mission Apple iPhone 16's camera control button stands out as most visible change Battery-powered devices are overheating more often on planes, raising alarm It's glowtime: Apple unveils much awaited AI-boosted iPhone 16 series It's glowtime: AI in spotlight as Apple launches GenAI-backed iPhone16 "What's the point of buying it if you can't use AI?" wrote one Weibo user. Another commented, "Without AI as the biggest selling point, it should be half price." The iPhone 16 and 16 Plus will cost the same as models they replace. In China, Apple aggressively slashed prices earlier this year, as government restrictions on the use of foreign-branded phones and increased domestic competition weighed on its smartphone sales. Other users on Weibo compared Apple's launch with Huawei's new phone, due to be released as the Chinese firm seeks to widen its lead over Apple in its home market. "Whether iPhone 16 has AI or not doesn't affect me, because I'm going to buy Huawei's tri-fold phone," one Weibo user wrote, underscoring the growing popularity of Huawei's latest models in China that helped it replace Apple as the country's No.3 smartphone vendor in the second quarter. But some analysts predicted the absence of AI features in the iPhone 16 was unlikely to have a big impact on near term sales. "Chinese consumers are not yet driven to upgrade by AI capabilities ... However, in the long run, as domestic brands use AI as a key differentiator for their flagship products, it will negatively affect Apple," said Toby Zhu, an analyst at technology market research firm Canalys. Zhu said Apple needs to localise its offerings and swiftly establish an AI application and service ecosystem in China to remain competitive. Apple's powerful operating system remains a draw for Chinese consumers, according to Will Wong, an analyst at IDC. "The key competitive advantage of Apple is its strong customer stickiness. Thus, the replacement needs of the users of the iPhone 11, 12, or 13 series could still support the sales of Apple in the absence of AI." "It's still too early to say who will win," Wong said. Pre-orders for the new iPhone start on Friday in China through online retailers such as JD.com, with deliveries beginning on Sept. 20. Also Read Apple supplier Jabil to set up Rs 2,000 crore mfg unit in Tiruchirapalli Apple launches open-ear type AirPods 4 series: India pricing, availability Apple launches Watch Series 10 with expansive display, thin design: Details Apple launches AI-ready iPhone 16 series: Check India pricing, availability iOS 18 to launch on Sep 16, Apple Intelligence features rolling out later

Apple iPhone 16 event shows off AI muscle, new Watches and AirPods

Reuters is an international news organisation owned by Thomson Reuters Apple (AAPL.O), opens new tab on Monday unveiled its long-awaited, artificial intelligence-boosted iPhone 16 and promised improvements in its Siri personal assistant as it rolled out new software, beginning in test mode next month. "The next generation of iPhone has been designed for Apple Intelligence from the ground up. It marks the beginning of an exciting new era," Chief Executive Tim Cook said at a product launch. Shares of Apple closed barely changed for the day at $220.91. Apple's event came hours before China's Huawei (HWT.UL) launches a tri-fold phone, underscoring the competitive challenge the iPhone maker faces. Apple has yet to announce an AI partner in China to power the 16s. Apple and technology companies around the world are racing to add AI to products, and phones are expected to be among the most important battlegrounds. The Cupertino, California-based company also is betting the AI feature will drive consumers to upgrade amid a slowdown in iPhone sales. Apple Intelligence, the company's AI software, will be used to improve Siri as well as enhancing features such as understanding and identifying objects captured by the phone camera, executives said. A test version of Apple Intelligence will be available in the U.S. version of the English language next month. It will be available for other localized versions of English in December, with versions in languages including Chinese, French, Japanese and Spanish next year. Features including improvements to Siri will be rolled out over time, Apple said. It did not say, however, when it would move beyond test. The iPhone 16 and 16 Plus will cost the same as models they replace and use a new chip and an aluminum case. A customizable button that can control the camera was one of the most touted hardware features in a format that looks similar to previous models. The higher-end 16 Pro and 16 Pro Max are made from titanium and have more AI capability, such as offering suggestions on how to set up a photo shoot more effectively and audio-editing capabilities aimed at professional-level video production. Apple's new iPhone chips use the latest version of Arm's architecture that includes specific features to speed AI applications. "Existing iPhone users who have had their device for 3-4 years will definitely be enticed to upgrade, even if some things are rolling out later, as this will future-proof their device for AI," said International Data Corp analyst Nabila Popal. Still, several analysts described the delays in features as keeping many potential buyers on the sidelines initially. "You might see people wait a little bit to see how these things work out, how well they function, and then they'll start to investigate it. But I don't think we'll see the mad rush that we've seen in years past," said TECHnalysis Research founder Bob O'Donnell. By comparison, Huawei's website showed on Monday that it had garnered more than 3 million pre-orders for its Z-shaped tri-fold phone ahead of its official unveiling. This underscores Huawei's ability to navigate U.S. sanctions and solidifies its position against Apple in China, where consumers are hankering for more AI features and are willing to pay for them. Apple also unveiled new Watches and AirPods with health-focused capabilities, as well as hardware-design improvements. Apple highlighted the Watch's ability to discover longer-term health conditions such as sleep apnea as well as detecting and responding to emergencies such as a fall. As it updated AirPods, Apple rolled out hearing-aid features that it has submitted for U.S. regulatory review. Apple fans globally have been waiting to see the new phones with AI. IPhones accounted for more than half of Apple's $383 billion sales last year. "While Android phones may have some of these features, Apple has packaged them well and will be able to market them far more broadly," said D.A. Davidson analyst Gil Luria. China offers particular challenges to Apple. "Apple fell out of the list of top five smartphone vendors in China in Q2," said eMarketer senior technology analyst Gadjo Sevilla. "It was the first time that China's domestic smartphone firms held all five spots. Since Apple Intelligence still needs to be approved by Beijing for a rollout in China, it will likely not initially be a key driver for adoption in the region." In China, Apple aggressively slashed prices earlier this year, prompted by government restrictions and increased domestic competition. The iPhone 16 lineup is the first Apple smartphones designed around these AI features though those are expected also to be available on iPhone 15 Pro and Pro Max, the top-end versions of the previous-generation devices. Rivals including Alphabet's (GOOGL.O), opens new tab Google are also showcasing AI features to try to upend Apple's dominance in the high-end smartphone market. Google, developer of the Android operating system which competes with Apple's iOS, focused its Pixel smartphone rollout event in August on AI features including Gemini Live, which allows users to hold live voice conversations with a digital assistant. Many of the AI features Google announced were also rolled out to the Android-based devices made by manufacturers such as Samsung (005930.KS), opens new tab and Motorola (MSI.N), opens new tab. In June, one week after its developer conference, Apple said it would delay the release of AI-powered features in Europe due to European Union tech rules. Huawei has scheduled an official announcement of its Mate XT Z-fold phone on Tuesday in China.

Apple's iPhone 16 will be the most successful iPhone launch ever, analysts say

Apple's (AAPL) latest lineup of iPhones could be its most successful smartphone launch to date, driving an upgrade "super cycle" that could see Apple selling upwards of 240 million iPhones next year. That's according to a research note Wedbush analysts, led by Dan Ives, published Monday. Ives believes the launch of this line of iPhones, the first to be built from the ground up specifically for its new artificial intelligence initiative, Apple Intelligence, will set off a consumer AI revolution. "Apple launching AI coupled by a massive pent up upgrade cycle is creating this new era of iPhone growth including in the key China region which has been a drag on the top-line over the past year," Ives said. In the past year, Apple's iPhone sales fell 19% in China, with its share of China's smartphone market falling year-over-year in the first quarter of 2024 to 15.7% from 19.7%. The company has had to cut prices on some iPhone models in the Chinese market as competition grows with Huawei and other homegrown smartphone-makers. Read more: Huawei's new smartphone has more than 3 million preorders as Apple launches its new iPhone It's hoping swanky new tech will change that. Apple Intelligence will understand and create images and language, edit, change tone, and proofread text, and even create new emojis using a typed description, the company said Monday at its annual iPhone event. Siri will also become more natural, relevant, and personalized, and will allow users to access ChatGPT directly from their devices. These specs could drive an upgrade "supercycle' for the iPhone maker, with roughly 300 million iPhones globally that have not been upgraded in over 4 years. "The new era of personalization and how consumers interact with their iPhones has now begun and we believe this will cause a renaissance of iPhone growth," Ives said, noting a high single-digit share growth over the next 12 to 18 months that could give Apple a $4 trillion market cap in 2025. Apple currently has a $3.3 trillion market cap. William Kerwin, equity analyst at Morningstar (MORN), similarly believes Apple Intelligence will be enticing enough for consumers to drive "good growth" in the 2025 fiscal year. And Ives believes these features could have a domino effect, setting off a race for app developers. "We expect developers over the next 6 to 12 months to build hundreds of generative AI-driven apps that will be key ingredients in the recipe for [Apple's] success as its technology stack creates the core building blocks of the consumer AI tidal wave we see coming starting with iPhone 16," Ives said. Other specs include a customizable action button to create shortcuts and a side camera control button, which allows users to open and control the camera with their finger.

Apple iPhone 16 event shows off AI muscle, new Watches and AirPods - VnExpress International

Apple and technology companies around the world are racing to add AI to products, and phones are expected to be among the most important battlegrounds. The Cupertino, California-based company also is betting the AI feature will drive consumers to upgrade amid a slowdown in iPhone sales. Apple Intelligence, the company's AI software, will be used to improve Siri as well as enhancing features such as understanding and identifying objects captured by the phone camera, executives said. A test version of Apple Intelligence will be available in the U.S. version of the English language next month. It will be available for other localized versions of English in December, with versions in languages including Chinese, French, Japanese and Spanish next year. Features including improvements to Siri will be rolled out over time, Apple said. It did not say, however, when it would move beyond test. The iPhone 16 and 16 Plus will cost the same as models they replace and use a new chip and an aluminum case. A customizable button that can control the camera was one of the most touted hardware features in a format that looks similar to previous models. The higher-end 16 Pro and 16 Pro Max are made from titanium and have more AI capability, such as offering suggestions on how to set up a photo shoot more effectively and audio-editing capabilities aimed at professional-level video production. Apple's new iPhone chips use the latest version of Arm's architecture that includes specific features to speed AI applications. "Existing iPhone users who have had their device for 3-4 years will definitely be enticed to upgrade, even if some things are rolling out later, as this will future-proof their device for AI," said International Data Corp analyst Nabila Popal. Still, several analysts described the delays in features as keeping many potential buyers on the sidelines initially. "You might see people wait a little bit to see how these things work out, how well they function, and then they'll start to investigate it. But I don't think we'll see the mad rush that we've seen in years past," said TECHnalysis Research founder Bob O'Donnell. By comparison, Huawei's website showed on Monday that it had garnered more than 3 million pre-ordersfor its Z-shaped tri-fold phone ahead of its official unveiling. This underscores Huawei's ability to navigate U.S. sanctions and solidifies its position against Apple in China, where consumers are hankering for more AI features and are willing to pay for them.

Apple: New, Built-For-AI iPhone 16 Can Challenge High-End PCs

The iPhone 16 series is arriving ahead of its much-hyped Apple Intelligence set of AI features, which will debut in beta next month with an initial set of features for the iPhone 15 Pro or higher as well as Macs and iPads with an M1 or newer system-on-chip. Apple said its newly revealed iPhone 16 smartphones are "designed to take full advantage" of the company's upcoming AI features and claimed that the devices can even challenge high-end desktop PCs, thanks to their new A18 chips. The Cupertino, Calif.-based tech giant announced on Monday that the iPhone 16, iPhone 16 Plus, iPhone 16 Pro and iPhone 16 Pro Max will also come with a new camera control side button and arrive next week with prices ranging from $799 to $1,199. [Related: HP Is Bullish on New Qualcomm PCs But Says Adoption Will Take Time] Apple unveiled the new iPhone generation alongside its forthcoming Watch Series 10 and Watch Ultra 2 smartwatches, which come with larger displays, thinner designs and new health features. The company also showed off the AirPods 4 and AirPods Pro 2 headphones, the latter of which will come with what it called "the world's first end-to-end hearing health experience." The peripherals also start shipping next week. The iPhone 16 series is arriving ahead of its much-hyped Apple Intelligence set of AI features, which will debut in beta next month with an initial set of features for the iPhone 15 Pro or higher as well as Macs and iPads with an M1 or newer system-on-chip. The supported operating systems consist of iOS 18, iPadOS 18, and macOS Sequoia. Apple said additional features will roll out in the coming months. While Apple Intelligence will be available initially in U.S English, the software will expand to localized English in Australia, Canada, New Zealand, South Africa and the United Kingdom in December. Support for other languages -- including Chinese, French, Japanese and Spanish -- will come next year, according to the company. Apple Intelligence is the linchpin of Apple's AI strategy, and the initial set of features will include Writing Tools -- which can rewrite, proofread or summarize text -- and an updated version of Siri, which can be prompted via text or voice to perform various actions. The initial feature set will also include a new Focus mode that only highlights the most important notifications, call transcription and summarization via the Notes and Phones app as well as email summarization and quick reply via the Mail app. In addition, Apple is bringing natural language search, a feature meant to generate movies based on captured photos and videos as well as the Clean Up tool to the Photos app. Features coming later this year include the Image Playground image-generation tool; Image Wand, which turns notes or sketches into fully featured images; the custom-Emoji-generating GenMoji; an updated version of Siri that provides custom-tailored responses can make hundreds of actions across Apple and third-party apps; and ChatGPT integration. The company has previously promised that Apple Intelligence will set a "brand-new standard for privacy in AI" because of how the features will either rely on in-house generative AI models that run on the device's processor or Apple silicon running in the company's new Private Cloud Compute Infrastructure. The 6.1-inch iPhone 16 and 6.7-inch iPhone Plus models will make use of Apple's new A18 system-on-chip, which is manufactured using a second generation TSMC's 3-nanometer technology and comes with an improved CPU and GPU as well as a new Neural Engine. Sporting six cores, the CPU is 16 percent faster than the A16 Bionic chip in the previous-generation iPhone 15 and iPhone 15 Plus, Apple said. Conversely, it can provide the same level of performance using 30 percent less power, and it can even challenge the CPU performance of high-end desktop PCs, according to the company. The GPU, on the other hand, comes with six cores and is 40 percent faster and 35 percent more efficient than A16 Bionic, Apple said. The Neural Engine consists of 16 cores, which have been optimized to run large generative AI models and can run machine learning workloads up to two times faster than A16 Bionic, it added. The iPhone 16 and iPhone 16 Plus each feature a 48-megapixel Fusion camera with a 2x optical-quality telephoto option as well as a new 12-megapixel ultra-wide camera, the latter of which can capture up to 2.6 times more light than the previous models. The nearly 6.3-inch iPhone 16 Pro and 6.8-inch iPhone 16 Pro Max are powered by Apple's new A18 Pro chip, which is also manufactured using TSMC's 3nm process and comes with a new CPU and Neural Engine as well as an improved GPU. The 16-core Neural Engine comes with 17 percent more memory bandwidth and is faster and more efficient than the A17 Pro inside the last generation iPhone Pro models, and it's capable of 35 trillion operations per second (TOPS), according to Apple. By contrast, the fastest AI PC processors coming this year from Intel, AMD and Qualcomm boast a neural processing unit performance of 48, 50 and 45 TOPS respectively. AMD's new M4 chip for iPad reaches 38 TOPS, on the other hand. The A18 Pro's CPU, on the other hand, comes with six cores and can run "15 percent faster while using 20 percent less power" than the previous generation, Apple said. The CPU also comes with next-generation machine learning accelerators that are meant to optimize the performance and efficiency of Apple Intelligence features, it added. The six-core GPU boasts a 20 percent increase in performance from the previous generation and boosts ray tracing by up to two times, according to Apple. A key new feature coming to all iPhone 16 models is the Camera Control button, which combines a "tactile switch" for clicking, "high-precision force sensor" for light-press gestures and a "capacitive sensor" for touch interactions. These functions are housed together in a new side button that allows users to interact with first- and third-party camera apps without touching the phone's screen, whether that's to zoom in or capture a photo of a subject. Camera Control will gain the ability to identify or gather information about objects and places later this year.

iPhone 16 Fails To Sway Some Chinese Buyers: 'I'm Going To Buy Huawei's Tri-Fold Phone' -- Missing AI Features A Sore Point - Apple (NASDAQ:AAPL)

Apple Inc.'s AAPL iPhone 16 series launch has disappointed China due to its lack of AI features, amid the growing competition from Huawei Technologies in the world's largest smartphone market. What Happened: On Monday, at the "Glowtime" event, Apple unveiled the AI-enhanced iPhone 16 to stimulate consumer upgrades amid a slowdown in smartphone sales. However, the tech giant has not yet announced an AI partner in China for the iPhone 16, and its AI software, Apple Intelligence, will only be available in Chinese language next year, reported Reuters. See Also: Mark Cuban Praises Elon Musk's AI Chatbot Grok For Answering Kamala Harris' POV On Immigration: 'I Think It's Accurate' The iPhone 16 launch was a trending topic on Chinese social media, with AI features being a key point of discussion. The hashtag "iPhone 16 Chinese version doesn't support AI yet" garnered over 11.33 million views and more than 1,500 comments on Weibo, China's social media platform. "Whether iPhone 16 has AI or not doesn't affect me, because I'm going to buy Huawei's tri-fold phone," one Weibo user wrote on the platform. Despite the criticism, some analysts believe the lack of AI features in the iPhone 16 will not significantly impact near-term sales. However, they suggest that Apple needs to swiftly establish an AI application and service ecosystem in China to remain competitive, the report noted. Anisha Bhatia, senior technology analyst at GlobalData, noted that while Apple intends to roll out its AI integration gradually, Google is set to lead by deploying Gemini AI to 200 million Android devices by the end of 2024. Subscribe to the Benzinga Tech Trends newsletter to get all the latest tech developments delivered to your inbox. Why It Matters: Apple's struggle in the Chinese market is not new. The company's market share in China has been declining, dropping from third to sixth place, while Huawei's smartphone shipments surged by 41% in the second quarter. Earlier in January, Apple had to slash iPhone 15 prices by $70 for a limited time in China, which suggested a weakening demand for its flagship product. Meanwhile, Huawei has ramped up its efforts in the smartphone arena. Just two days before the iPhone 16 launch, Huawei's new tri-fold smartphone, the Mate XT, attracted 1.3 million orders within seven hours of opening reservations. Check out more of Benzinga's Consumer Tech coverage by following this link. Read Next: Mark Cuban Explains Why, Despite Getting A Lot Of Flak From Elon Musk And Others, He Continues To Post On X: 'Don't Want to Be Where Everyone Agrees with Me' 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

Apple's challenge in China rises with new rival phones and AI delay

Apple faces more pressure from Chinese rivals that are selling phones with advanced features while Chinese consumers aren't getting the latest iPhone artificial-intelligence services. Introducing its iPhone 16 lineup at a California event, Apple promoted Apple Intelligence features for U.S. users such as an enhanced version of its voice assistant Siri. It didn't say when the AI services would be available in China, its second-largest market after the U.S., although it said the system would start supporting the Chinese language next year. The delay puts the iPhone maker at a disadvantage against rivals offering AI services, including Chinese handset makers such as Huawei, Honor and Oppo. Sales of iPhones in China have declined for four consecutive quarters, weaker than the overall Chinese market, according to market intelligence firm Counterpoint Research. A half-day after Apple's event, Huawei held its own announcement in China to release the Mate XT, a three-way foldable smartphone. The phone provides AI features such as text summaries, translations and photo editing. Huawei's handset business took a blow early this decade from U.S. sanctions, but it has come back with models that use advanced chips developed domestically. Helped by several models it has introduced since August 2023, Huawei's smartphone sales have been growing rapidly in China, according to Counterpoint. Lucas Zhong, an analyst at research firm Canalys, said some consumers in China were trading down to more affordable devices during the country's economic slowdown. "Apple needs to differentiate itself further, but current economic conditions make that challenging," he said. Apple said on its China website that the launch of Apple Intelligence was subject to regulatory approval. In China, any generative AI models that could influence public opinion need government approval. Apple is building AI features for China by drawing on AI models developed by Chinese search-engine company Baidu, according to people familiar with the companies' work. Those features include content generation and image search, the people said. "If Apple Intelligence isn't available in China anytime soon, I don't think I have any reason to buy a new iPhone," said Henry Piao, who works for a state-owned investment fund in Shanghai. Piao said he has considered shifting to a Chinese brand because of more attractive features and because his employer has encouraged buying domestic brands. Some government agencies and state-owned companies have restricted iPhones in the workplace owing to concerns about national security risks. On the flip side, analysts said there was pent-up demand for the right product because many people in China and elsewhere have been holding off on getting a new phone. "The hardware is ready, but the software is not," said Meng Bin, a sportswear designer in Beijing, of the new iPhone. He said he planned to wait to buy one until he had a better idea of when Apple Intelligence features would be available. On the hardware front, Huawei and Samsung have both turned to foldable screens to draw a distinction with Apple. Huawei's latest phone has three segments that can be collapsed like a Z-shaped folding screen or opened up flat to be a 10.2-inch tablet. Analysts said the design showcased Huawei's technology, but the price tag -- starting at the equivalent of around $2,800 vs. $843, the starting price for the iPhone 16 in China -- could deter consumers. Meanwhile, Huawei still faces manufacturing bottlenecks that could lead to shipment delays, analysts said. In the first quarter of this year, Huawei surpassed Samsung to become the world's biggest foldable smartphone maker by shipments, according to Counterpoint. China accounts for more than half of the global foldable handset market. Huawei's book-style foldable phone, Mate X5, has been a bestseller in the country since its introduction last September, Counterpoint said. Yet another headache for Apple in China is a backlash against the commissions that it charges app developers. Apple's standard fee for big companies is 30%, meaning if a user buys an app for $10 or makes a $10 in-app purchase, Apple wants to get $3 in each case. The policy has sparked a global war with software makers and regulators, leading to lawsuits by app makers and consumers as well as antitrust scrutiny in the U.S., Europe and Japan. Apple has pressured China's biggest internet companies, including Tencent and TikTok parent ByteDance, to close loopholes on their platforms that in some cases allow content providers to avoid sharing revenue with Apple. The companies are negotiating over new commission practices, people close to the talks said.

Apple Unveils the iPhone 16 With an Extra Button, Bigger Screen, and Apple Intelligence

The iPhone 16 Pro, and iPhone 16 Pro Max come with some camera improvements, but if you were hoping for Apple Intelligence that will arrive 'later this year. If there are two things Apple thinks its iPhone fans like, its big screens and camera tricks. Apple finally pulled the sheet off its upcoming iPhone 16, iPhone 16 Plus, iPhone 16 Pro, and iPhone 16 Pro Max phones at its neon-streaked Glowtime event on Monday. While the Pro models are larger than they've ever been, the headline feature is a physical "camera control" button that's supposed to be a little more versatile than just using the volume button to snap pics. Oh, but perhaps there are three things Apple thinks its fans enjoy. Those long-promised AI features, dubbed Apple Intelligence, returned at Glowtime. Some of those previously touted intelligence features will use camera control. The iPhone 16 should be the phone to headline many of these new AI integrations, though customers who pre-ordered the phone in time for the September release will still need to wait at least another month to get ChatGPT on their phones. The iPhone 16 lineup looks a bit like the iPhone 15â€"save for the pill-shaped camera array on the base modelsâ€"but this time, the Pro model is a bigger beast than the base iPhone. While the regular iPhone 16 has a 6.1-inch display and the iPhone 16 Plus has a 6.7-inch screen, the Pros now sport a 6.3-inch, and the Pro Max is 6.9 inches. Sure, the Google Pixel 9 Pro changed up screen sizes with an XL version, but Apple seems to think its customers want more screen real estate, period. A bevy of new colors are available for pre-order, including the rumored ugly brown "gold titanium" color first hinted at in leaks last month. The regular iPhone 16 also comes in green, pink, blue, and white shades. More than anything, it seems Apple's promoting many of the same hardware tweaks with the base iPhone 16 and the Pro models, though the more expensive phones are going to sport extra camera capabilities like 4K slow-mo at 120 FPS. Apple has made a big production out of the “shot on iPhone’ schtick with previous iPhone releases (though, of course, with thousands of dollars of extra equipment and post-processing). The deal now is that you’ll actually feel like a photographer with some of the extra buttons on the iPhone 16. This takes the form of a low-profile switch on the right side of your phone. You use it to launch the Photos app, take a picture, or even swipe through a few rudimentary camera controls. Finally, Apple's brought that "taptic" button it couldn't make work on the iPhone 15. With a light press, you can bright up some controls like zoom or exposure. A full press will actually take a photo. It's not exactly like a DSLR, where a half press locks the exposure, and a full click will snap the pic. However, in a later update Apple promises it will add a two-stage shutter to lock focus and exposure. That will be pretty significant, and it feels like an obvious addition that those who preorder will miss out on at first. Apple also said it would allow it to be used in third-party photo apps such as Kino. The cameras are all receiving some minor upgrades no matter if the sensors are arranged vertically or in a triangle. The Pro models will see an improved ultrawide lens from the previous 12 MP to a 48 MP sensor. The Pro's periscope lens now allows for a 5x optical zoom, same as the Pro Max. If that's not enough, Apple says the Pro models can now record 4K at 120 FPS, allowing for 60 FPS, 30 FPS, or a lower-frame 24 FPS slow-mo video effect. A new "Audio Mix" feature on the Pro versions allows editors to make some small adjustments to sound after they record it. For those who hoped to see Spatial Videos on a base iPhone, the regular 16s support them on their new stacked camera setup. However, if you already spent $3,500 on a Vision Pro, you can turn any regular image or even artwork into a faux-3D Spatial image now with VisionOS 2. Apple upgraded the iPhone 16 and 16 Plus phones with the A17 Bionic from last year’s iPhone 15 Pro. As expected, the engineers at the end of 1 Infinite Loop have shoved an A18 Bionic chip in the iPhone 16 Pro and Pro Max. If you want better graphics processing, you’d opt for a device with the A18 Pro Bionic chip that comes with extra GPU cores and support for ProMotion and always-on displays. The 6-core Pro version also comes with a 16-core NPU that could handle some background AI tasks a bit better. Either way, they should be marginally more efficient and powerful than the iPhone 15's A16 Bionic. The other benefit of the new iPhones is the increased RAM, which now stands at 8 GB compared to the previous 6 GB on the iPhone 15. That's mostly to help power the AI features. Each phone is meant to support iOS 18 right out of the box. However, many of the promised Apple Intelligence generative AI features are still getting some time to bake in Tim Cook’s crowded baking ovens. First on that list is ChatGPT integration, which is coming "later this year." In addition, "later this year," Apple will allow Camera Control to pull up Apple Intelligence features like a Google Lens-like search with the photos users take. The feature could also add events to users' calendars or search for places to buy whatever you're currently window shopping for. If you haven’t tried out the iOS 18 beta, it offers some extra customization options for the home screen, support for RCS, and dozens of other small quality-of-life improvements. Combined with the rest of Apple's OS slate we expect to drop this month, there will be a few new features for all iPhone owners, regardless of whether you buy the newfangled iPhone 16 just for AI and a special camera button. While we were expecting iPhone 16 to launch with the fabled ChatGPT integration, that’s apparently still not coming until later this year, as late as October according to Bloomberg’s Mark Gurman. Live call transcriptions and Magic Eraser-like image editing tools should arrive later this year, according to Apple. Even the touted AI image generator titled “Image Playground†that the Cupertino company showed off at WWDC 2024 won’t be in time for the iPhone 16’s release.Â