Apple's New Artificial Intelligence (AI) Features Could Push This Semiconductor Company to a $1 Trillion Valuation
(NASDAQ: AAPL) unveiled its new artificial intelligence features dubbed "Apple Intelligence" at its Worldwide Developers Conference a few weeks ago. The highlights include text generation and summarization across apps, advanced AI-assisted photo editing capabilities, and a much smarter and more powerful Siri. It also integrates third-party services like ChatGPT for more advanced prompts.
What makes Apple Intelligence so compelling is the amount of AI processing it does on the device. Instead of taking your query, sending it to a server along with any relevant data, waiting for the server to process your request, and then downloading the results to your device, the entire process happens on your iPhone, Mac, or iPad. For more advanced queries requiring a larger foundation model, Apple uses its own servers and system called Private Cloud Compute, which protects users' privacy.
Both of those developments could be a major win for one of Apple's biggest suppliers. Since all of these new features run on Apple-designed silicon, chip foundry Taiwan Semiconductor Manufacturing Co. (NYSE: TSM) could see an increase in orders due to Apple Intelligence. What's more, as Apple leads the way in on-device AI processing, it could push other device makers to buy more advanced chips from TSMC as well.
Source Fool.com
Apple Inc. Stock
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