Apple’s ‘F1’ success doesn’t make up for AI stumbles
Formula One F1 – United States Grand Prix – American circuit, Austin, Texas, USA – 23 October 2022 Tim Cook, Red Bull’s Max Verstappen, who won the checkered flag racing
Mike Segar | Reuters
Apple had two major launchs last month. They could not be different.
First, Apple announced that some of the artificial intelligence developments it was working on last year, the developer versions of the operating systems have published silent applause at WWDC at the annual developer conference. Then, at the end of the month, Apple hit the red carpet as “F1”. Over $ 155 million – And shining reviews – the first weekend.
Although “F1” is a tour of victory for Apple, even though it emphasizes the power of its long -term appearance, the growth of the service business and its ability to touch culture, Wall Street’s reaction to the company’s AI announcements in WWDC, shows that there are some problems under the hood.
“F1” has shown Apple in the best way-especially the ability to invest in new, long-term projects. When it was released in Apple TV+ 2019, there was only a handful of original shows and a film, a film festival named “Air” that did not even share the box office income.
Apple TV+ be written as an expensive side projectApple has been stuck in his plan for years, expanding his staff and operation in Culifornia, Culver City. This allowed the company to establish Hollywood connections, especially for TV shows, and to create an entertainment record. Now, an Apple original can lead a summer weekend box office, which is the best season for movies that break box office records.
The success of “F1” also emphasizes Apple’s important marketing machine and the ability to make it appear with its leadership. Apple took out all the stops to market the film, Using Wallet Application Send a push notification to the movie with a ticket discount. Cook to introduce “f1” appeared Film star Brad Pitt and published in an Apple store in New York and A video One of the producers of the film is with the real F1 racer Lewis Hamilton.
(LR) Brad Pitt, Lewis Hamilton, Tim Cook and Damson Idris participates in the world premiere of “F1: The Film” at Times Square on June 16, 2025 in New York.
Jamie McCarthy | Getty Images Entertainment | Getty Images
Apple Services Chief Eddy Cue, A recent interview Apple’s film business needs to be profitable to “continue to do great things”, not just after the “F1” company.
Apple’s Hollywood productions are perhaps the most important face of the service business of the company, which has an investor favorite snow engine since the iPhone manufacturer has started to emphasize the episode in 2016.
Films, payment, iCloud subscriptions, magazine bundles, apple music, game packages, guarantees, digital payments and advertising sales fees will only be a small part of the service unit. In addition, even the biggest box office pieces would be small on Apple’s scale – the company sells over an average of $ 1 billion every day.
However, films are the only service component that can make celebrities like Pitt or George Clooney to appear next to an Apple logo, and the success of F1 means that Apple can make larger exploded corn films in the future.
“Nothing makes success or inspires future investments as an existing success,” Comscore Senior Media Analyst Paul Dergararabedian said. He said.
However, “F1” is a sign that Apple’s service business is in full gas, the company’s AI struggles is a “control motor” light that will not be closed.
Change Siri’s engine
Last month at WWDC, Wall Street was willing to hear the Apple Intelligence plans with the company’s first AI features that the company first released in 2024. Apple Intelligence, the basic principle of the company’s hardware products A presentation shaded with delays and overwhelming features.
Apple has spent most of the WWDC through smaller machine learning features, but did not explain that investors and consumers want more and more: a sophisticated siri who can chat fluently and do something like a restaurant reservation. In Openai’s Chatgpt Age, Anthropic’s Claude and Google’s Gemini, the expectation of AI assistants among consumers “Siri, how the weather?”
In the summer of 2024, the company prevented a significant improved Siri, but in the early this year, these features were postponed in 2026 until a time. In WWDC, Apple did not offer any updates about Siri developed beyond the company’s “next year’s” features “. Some observers reduced their expectations for Apple’s artificial intelligence after the conference.
“Apple Intelligence’s current expectations for the start of the super upgrade cycle of Apple Intelligence is very high according to our opinion.”
Siri should be an example of how Apple’s ability to develop long -term products and projects makes it difficult to compete.
When it was first released on iPhones in 2011, almost every sound assistant released. Fourteen years later, Siri remains a single-time, hard, question-answer system that struggles with open-ended questions and dates, even after meeting in sophisticated sound boots based on productive AI technology, which can actually make a speech.
Apple’s most powerful competitors, including Android parents Google, made more to integrate sophisticated AI assistants more than Apple. And Google does not have the same reflex against collecting data and cloud processing with privacy obsessed Apple.
Some analysts are their to believe Apple, the company’s large loaded base and high customer loyalty, considering the company’s competitive AI features, the company will begin to appear in device sales. However, Apple cannot get used to it before entering the race, and the old design guru Jony Ive is now working on the new hardware with Openai and increasing the pressure in Cupertino.
Needham Senior Internet Analyst Laura Martin this week at CNBC’de “an investment time framework within the framework of the three -year problem is the progress of Android.” He said.
Apple’s service success with projects such as “F1” is an example of what it can do when the company sets clear goals in the public and then runs them within a long time.
The AI strategy can use a similar long -term plan as they wonder when customers and investors will embrace the fascinating technology of Apple’s Silicon Valley.
Wall Street’s concern about Apple’s AI struggles was evident this week Bloomberg reported Apple was considering changing Siri’s engine with anthropic or Openai’s technology, unlike its basic models.
If it were the movement, it would contradict one of Apple’s most important strategies in the cook period: Apple has basic technologiesDo not buy them from suppliers, such as touch screen, processor, modem and map software.
Using external technology will be admitted that Apple Foundation models are not good enough because they want to do it with the company’s Siri.
Martin, “they have further and further behind and they need to strengthen their productive AI efforts,” he said. “They can’t do this internal.”
According to Bloomberg, Apple can even pay billions for the use of anthropic’s AI software report. If Apple would pay for artificial intelligence, there would be a return from the current service agreements, such as a search agreement with the alphabet, where Cupertino’s iphone traffic was paid $ 20 billion a year to force Google search.
The company did not approve and rejected the comment, but the Wall Street report welcomed the report and Apple shares Rose.
In the AI world in Silicon Valley, signing bonuses for types of engineers who can develop new models can vary up to $ 100 million. Openai Ceo Sam Altman.
Orum I can’t see Apple’s doing this, Mart Martin said.
At the beginning of this week, 11 AI experts from Meta CEO Mark Zuckerberg, Openai, Anthropic and Google’s Deepmind sent a note on hiring. This came to Zuckerberg’s scale AI CEO Alexandr Wang to lead a new AI section as part of an agreement of $ 14.3 billion.
Meta is not the only company that spends hundreds of millions of celebrities to put them into the building. Google spent great to hire Charter.i’s founders. hired AI staff collectively Adept Executive Team.
Apple has not announced any Big AI recruitment in recent years. When rubbing the shoulders with Pitt, the real race may be passing apple.
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