It will likely come as no surprise that tech giant Apple (NASDAQ:AAPL) is working to develop its own conversational AI system. Such a move would elevate its product line substantially, especially when incorporated into things like Siri. But new reports suggest Apple’s putting a lot of money into such development.
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Apple is not merely fooling around with conversational AI development. It’s going whole hog, putting reportedly “millions of dollars” per day into the project. And indeed, Siri is on tap to get the benefit of that development as soon as progress is achieved. Reports note that Siri will, ultimately, be able to take advantage of new language models to offer entirely new—and ostensibly more effective—ways of solving problems.
While this could be big, there’s a bigger problem staring Apple in the face right now: China. Rather, the extent to which the Chinese will allow the iPhone to be used in their country. With China standing at around 19% of Apple’s total revenue, any such move will likely have larger consequences for Apple than some may expect.
Analysts, meanwhile, are comparatively unfazed. Currently, analyst consensus calls Apple stock a Moderate Buy, supported by 22 Buy ratings and eight Holds. Further, Apple stock offers investors 14.38% upside potential thanks to its average price target of $208.13.