Apple's current struggles with Apple Intelligence and Siri began in early 2023 when AI head John Giannandrea sought approval from CEO Tim Cook to purchase more AI chips for development.
Cook initially approved doubling the team's chip budget, but CFO Luca Maestri reportedly reduced the increase to less than half that amount, and instead encouraged the team to make existing chips more efficient.
The lack of adequate GPU resources meant Apple's AI team had to negotiate for computing power from providers like Google and Amazon.
Apple still plans to release its enhanced Siri experience this fall, despite facing significant delays and internal issues.