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The Quiet Giant: Apple’s Stealthy Domination of the AI Startup Sector Over the Last Decade

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Apple Inc. (AAPL) is making strategic moves in the artificial intelligence (AI) space as evidenced by its recent acquisition of Canadian AI startup DarwinAI. This acquisition marks a significant step in Apple’s journey towards enhancing its generative AI capabilities.

Uncovering the Deal: In a recent Bloomberg report, it was revealed that Apple acquired DarwinAI earlier this year. Key members of DarwinAI, such as AI researcher Alexander Wong, have now become vital parts of Apple’s AI division.

DarwinAI’s specialization in developing AI technology for inspecting manufacturing components and optimizing AI systems for speed and efficiency could potentially revolutionize Apple’s approach, particularly focusing on running AI processes on devices rather than relying solely on cloud-based solutions.

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While Apple has been intensifying its efforts in the AI domain, CEO Tim Cook only began publicly acknowledging the company’s AI initiatives during the December quarter earnings call.

The acquisition of DarwinAI represents another significant milestone in Apple’s ongoing quest to establish a stronger presence in the AI landscape.

At the start of the year, Tim Cook’s mention of AI during Apple’s shareholder meeting sparked renewed enthusiasm among analysts, paving the way for Apple’s strategic movements in the AI sphere.

Strategic Implications: Analyst Dan Ives from Wedbush highlighted Apple’s entrance into a promising “growth cycle,” with AI and the enduringly popular iPhone driving the company’s expansion.

Apple’s integration of generative AI technology into iPhones and recent hardware innovations like the M3 Max processor for MacBooks and the S9 chip in the Apple Watch Series 9 further attest to its deep-rooted commitment to AI advancements.

Despite facing obstacles along its AI journey, such as abandoning its autonomous car endeavor after years of investment and receiving mixed reviews for products like the Apple Vision Pro virtual reality headset, Apple’s acquisition of DarwinAI underscores its relentless pursuit to lead the AI race.

Market Performance: Apple’s stock closed at $173.25 on Thursday, showing a 1.24% increase according to Benzinga Pro.

Explore more of Benzinga’s Consumer Tech coverage by following this link.

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Disclaimer: This content was created with assistance from Benzinga Neuro and was reviewed and published by Benzinga editors.

Photo by Laurenz Heymann on Unsplash

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