Key facts
- Apple is expected to launch a new foldable iPhone with a price tag over $2,500.
- The company has announced a significant overhaul of its Siri virtual assistant, incorporating Google's AI technology.
- Analysts predict the foldable iPhone could become a leader in its market segment.
- The new Siri aims to close the gap with rivals like Google's Gemini and OpenAI.
- John Ternus, Apple's CEO, faces pressure to prove the company's AI capabilities.
Apple CEO John Ternus is poised to unveil the company's latest products, with a new foldable iPhone and an overhauled Siri virtual assistant taking center stage. Analysts anticipate the foldable iPhone, expected to retail for over $2,500, could quickly establish itself as a leader in the nascent folding phone market, despite potential limitations in its camera and processor capabilities compared to competitors.
The company has also announced a significant update to Siri, reportedly incorporating Google's AI technology behind the scenes. This revamp is seen as a crucial test for Ternus, aiming to bring Apple's assistant closer to rivals like Google's Gemini and OpenAI's offerings. Investors have largely overlooked Apple's slower entry into generative AI, attributing this to its vast device user base and customer loyalty.
Beyond the foldable device, Apple is expected to refresh its premium iPhone Pro and Pro Max models, while holding off on updates for the iPhone Air and budget lines until spring. The foldable phone is projected to generate substantial revenue, with one analyst estimating over $45 billion by the end of next year, even as foldables remain a niche segment of the overall smartphone market.
Analysts believe Apple's late entry into the foldable market could allow it to learn from competitors' successes and failures, particularly in addressing engineering challenges such as hinge durability and screen creasing. For Siri, the challenge lies in convincing consumers and developers of its enhanced capabilities and Apple's ability to keep pace with rapid AI advancements. Regulatory hurdles are also a factor, with the Siri update potentially facing delays in China and Europe.