Apple’s AI Lag and iPhone Momentum: A Tech Titan at a Crossroads
Apple (AAPL -3.40%) remains a consumer tech powerhouse despite its cautious approach to artificial intelligence adoption. While rivals aggressively integrate AI, Apple's revenue engine still hums on iPhone sales, which surged 13.5% to $44.5 billion last quarter amid tariff-driven demand. The company posted its strongest revenue growth in four years at nearly 10%.
Early indicators suggest the iPhone 17 lineup may outperform expectations, with analysts noting stronger-than-anticipated demand for Pro models compared to previous cycles. Services revenue continues its upward trajectory, offsetting concerns about innovation stagnation. Yet the absence of a clear AI strategy looms as both a competitive risk and potential opportunity for late-mover advantage.
