OpenAI's Consumer Device Delayed Indefinitely, Boosting Apple's Prospects

OpenAI's lawyers have unexpectedly told a federal judge that the company's first consumer device is 'not coming anytime soon', contradicting CEO Sam Altman's previous statements. The revelation has come as a relief to Apple investors, who had been worried about the potential threat posed by the Altman and Jony Ive collaboration at io Products.

The court hearing took place on Monday, and OpenAI's lawyers argued that discovery must run both ways, accusing Apple of a 'shoot first, think later approach'. The judge refused Apple's demand for immediate access to OpenAI's product schematics and ordered both sides to narrow their requests and return with a joint discovery plan by October 14.

Meanwhile, Apple continues to perform strongly, with iPhone revenue reaching $54.3 billion in the June quarter, up 22% year over year. The company's installed base has also reached an all-time high, with more than 2.5 billion active devices. Services revenue hit $30.7 billion, up 12% year over year, and paid subscriptions surpassed 1.5 billion.