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Home Lagatar News

Apple Explores Subscription Model for New AI Suite ‘Apple Intelligence’

Potential Premium Tier 'Apple Intelligence+' to Offer Exclusive AI Features

Lagatar News by Lagatar News
July 2, 2024
in Lagatar News, Tech - Gyan
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Lagatar24 Desk

California-based tech giant Apple is exploring new revenue streams with the introduction of Apple Intelligence, a suite of advanced artificial intelligence (AI) features unveiled at the recent Worldwide Developers Conference (WWDC) 2024. This innovative initiative includes enhancements such as an AI-powered Siri, integrated Writing Tools across applications, and a creative Image Playground for dynamic image generation.

Currently, Apple has confirmed that these cutting-edge AI capabilities will be available free of charge to users of compatible devices. However, reports suggest a potential shift towards a subscription-based model in the future. According to insights from Bloomberg’s Mark Gurman in the Power On newsletter, Apple may introduce a premium tier called “Apple Intelligence+” that offers exclusive AI features for a monthly fee, similar to its existing subscription services like iCloud and Apple Music.

This move aligns with Apple’s strategic pivot to strengthen its software and services offerings amid slowing hardware sales growth. Contributing factors to this shift include slower device upgrade cycles, less pronounced hardware innovation, and increased durability of Apple devices.

Apple’s collaboration with OpenAI, which reportedly includes revenue-sharing from AI subscription services, highlights its commitment to leveraging AI for future revenue growth. Additionally, the introduction of Private Cloud Compute aims to extend AI capabilities to older devices by utilizing Apple’s cloud servers for computational tasks.

As Apple reportedly prepares to roll out Apple Intelligence initially on the iPhone 15 Pro and iPhone 15 Pro Max, industry watchers are eager to see how these AI-driven technologies will reshape consumer interactions with their devices.

In related news, Apple has officially designated three of its iconic products as “vintage.” The updated vintage and obsolete products list now includes the iPhone X, the first-generation AirPods, and the original HomePod, as reported by MacRumors.

According to Apple’s classification, a product earns the vintage label if it has been off the market for more than five years but less than seven years. Once a product surpasses the seven-year mark since its discontinuation, it is categorized as obsolete. Vintage products may still qualify for repairs, subject to parts availability, whereas obsolete products are no longer supported for hardware services.

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