While much of the current Apple bull case is tied to the WWDC event next month and the artificial intelligence capabilities that may be unveiled, one analyst believes they may not be introduced until September.
Bernstein said in a note this week that even though they continue to believe Apple (NASDAQ:AAPL) will unveil some AI capabilities at WWDC next month, "the majority of its AI functionality will be tied to iPhone 16 and introduced alongside the device in September."
This may disappoint some investors, who are looking for Apple to provide insights into its AI efforts at the WWDC event.
On Tuesday, Apple hosted its “Let Loose” event, a pre-recorded webcast announcing its new iPad lineup, as well as an updated Magic Keyboard and Apple Pencil Pro. The biggest surprise was the release of Apple’s next-generation M4 chip on the iPad Pro.
"Muted AI commentary may be a disappointment to some investors, but was consistent with our expectations," said Bernstein.
"Other than emphasizing its hardware capabilities, Apple was relatively restrained in discussing its AI feature set, simply stating that CoreML provides a framework for third-party developers to tap into the neural engine to deliver AI features," the firm added.
Meanwhile, UBS said that with the iPhone maker not teasing any offerings or services related to its AI efforts, it has likely deferred any AI discussion until WWDC in mid-June.
"AI was more or less on the fringes with some applications utilizing AI capability like camera flash as it is clear Apple preferred to leave the core of its strategy," UBS commented.