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Apple event to put focus on ‘existential risk’ of AI struggles

  • Apple's WWDC event is expected to shed light on its struggles with AI, posing an existential risk for the company with no major AI releases anticipated.
  • Apple's shares have declined by 19% this year, mainly due to struggles with AI and exposure to tariffs and political uncertainty.
  • Apple's lack of robust AI offerings puts it at a disadvantage compared to Big Tech peers like Alphabet and Microsoft, with potential competition from OpenAI.
  • Despite its AI struggles, Apple still offers attractive characteristics like a large user base, high-margin services business, and profitability, making it appealing to some investors.

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