Apple Takes a Different Approach to Artificial Intelligence

Apple's approach to artificial intelligence (AI) stands out from its peers in the tech industry. The company is not investing heavily in AI infrastructure like some of its competitors, such as Nvidia and Alphabet's hyperscalers.

Instead, Apple is focusing on integrating AI capabilities into its existing products and services, known as Apple Intelligence. This strategy is reflected in the success of its iPhone and services divisions, which have seen significant growth in recent quarters.

The company's Chief Financial Officer, Kevan Parekh, highlighted this focus during the Q3 2026 earnings call, stating that Apple set records in every category, including a 21.7% year-over-year increase in iPhone revenue and a 12% increase in services revenue.

Apple's AI strategy is also evident in its decision to work with Alphabet's Gemini models to power its Siri refresh, which is set to launch later this year.