Stocks
Apple Stock Tumbles Amid AI Ecosystem Threat
Apple's stock took a hit on Tuesday morning after Bank of America warned that emerging AI technology could shift online shopping activity away from Apple's ecosystem.
The bank kept its Buy rating on Apple, citing its large installed base and user trust as potential offsets to the competitive pressure.
The concern centers around Meta's Muse, an AI agent designed to handle tasks such as browsing sites, completing forms, and continuing work after users leave the app. Muse has also gained access to commerce services from Shopify, Expedia, and PayPal.
Bank of America analyst Wamsi Mohan said Apple could retain control of device sales while losing part of the digital activity surrounding product discovery, referrals, and transactions.