Apple Doubles Down on Artificial Intelligence: CEO Tim Cook Rallies Employees for AI Ambitions

Despite other tech giants rapidly releasing AI tools, Apple is adopting a deliberate pace. The company’s debut of Apple Intelligence features, unveiled at WWDC, will likely not reach most users until 2025 or even 2026. This approach, some argue, represents Apple lagging behind, but the company’s history suggests it prefers to launch products when they are fully ready.

In contrast, competitors like Microsoft, OpenAI, and Google have broadly distributed AI features, often with bugs and inconsistent results. Today’s AI assistants still struggle with accuracy, consistency, and usefulness in numerous tasks.

Apple appears to be observing from the sidelines, awaiting technology maturation. Instead of flooding iOS with half-baked tools, it is holding back – a strategy that could prove beneficial if users grow weary of AI that overpromises and underdelivers.

Apple has demonstrated this approach before, launching smartwatches and tablets late but with superior products. Given its ownership of hardware and software and control over its app store, Apple can afford to wait.

If current AI tools don’t improve soon, Apple’s measured rollout might appear less like hesitation and more like shrewd strategy. This cautious approach does not imply inactivity; behind the scenes, Apple is escalating investments, hiring, and internal coordination to prepare for an AI transition.

Recently, during a corporate gathering at its headquarters, CEO Tim Cook rallied employees and outlined the company’s ambitions in AI. His message was clear: Apple must excel in AI – and now is the time to make it happen. Cook likened AI to a once-in-a-generation shift, with an impact comparable to that of the internet, smartphones, and cloud computing.

A significant portion of Apple’s current AI work revolves around Siri, its voice assistant. Initially, Apple planned a substantial overhaul as part of Apple Intelligence, adding features powered by large language models. However, this rollout was delayed, leading to internal reorganization and a reconsideration of the entire system.

Craig Federighi, Apple’s software chief, informed employees that merging old and new versions of Siri did not work effectively. The team attempted to preserve the original system for basic tasks like setting timers while adding generative AI features for more complex requests. However, this hybrid setup fell short of Apple’s standards. “We realized that approach wasn’t going to get us to Apple quality,” Federighi said.

Now, the team is rebuilding Siri from the ground up. A completely new version is under development and expected as early as spring 2026. Federighi stated that the results so far have been strong and could lead to more improvements than initially planned. “There is no project people are taking more seriously,” he told staff.

A key figure driving this new direction is Mike Rockwell, the executive who led development on Apple’s Vision Pro headset. Rockwell and his software team are now spearheading Siri’s redesign. Federighi said they have “supercharged” the work and brought a new level of focus.

Apple is also expanding its AI team rapidly. Cook reported that the company hired 12,000 people in the past year, with 40% of them joining research and development, many focusing on AI.

Part of the work involves hardware. Apple is constructing new chips specifically designed for AI, including a more powerful server chip known internally as “Baltra.” The company is also establishing an AI server farm in Houston to support future projects.

Beyond Siri, Apple is quietly developing what could become a significant AI tool. According to reports, Apple has formed a team called “Answers, Knowledge, and Information” (AKI). The group’s mission is to create search that functions more like ChatGPT – providing direct answers rather than just links.

The AKI team is led by Robby Walker, who reports to AI chief John Giannandrea, and Apple has already begun hiring engineers for the group. While details are still limited, the project appears to include backend systems, search algorithms, and potentially even a standalone app.

Cook also encouraged employees to integrate AI more extensively in their work. “All of us are using AI in a significant way already, and we must use it as a company as well,” he said. He urged employees to bring ideas to their managers and find ways to get AI tools into products faster.

The sense of urgency was echoed during Apple’s recent earnings call. The company posted strong results, with nearly 10% growth in the June quarter – enough to allay concerns about slowing iPhone sales and weak results from the Chinese market. Cook indicated that Apple would significantly increase its spending on AI.

Challenges remain, however. Apple expects to face a $1.1 billion hit from tariffs this quarter and continues to grapple with antitrust pressures in the US and Europe, where regulators are closely monitoring how the company manages its App Store and handles user data.

Cook acknowledged these issues at the staff meeting, stating that Apple would continue pushing regulators to adopt rules that do not harm privacy or user experience. “We need to continue to push on the intention of the regulation,” he said, “instead of these things that destroy the user experience and user privacy and security.”

Beyond AI, Cook discussed Apple’s retail strategy. The company plans to open new stores in emerging markets, including India, the United Arab Emirates, and China. A store in Saudi Arabia is also in the works. Apple is also giving more attention to its online store.

“We need to be in more countries,” Cook said, adding that most of Apple’s future growth will come from new markets. That does not mean existing regions will be neglected, but the company sees more opportunity in expanding its global footprint.

While Cook did not disclose any product details, he hinted at big things ahead. “The product pipeline, which I can’t talk about: It’s amazing, guys. It’s amazing,” he said. “Some of it you’ll see soon, some of it will come later, but there’s a lot to see.”

Reports suggest Apple is working on several new devices, including a foldable iPhone, new smart glasses, updated home devices, and robotics. A major iPhone redesign is also rumored for its 20th anniversary next year.

Cook did not confirm any of this, but he hinted at major developments ahead. “The product pipeline, which I can’t talk about: It’s amazing, guys. It’s amazing,” he said. “Some of it you’ll see soon, some of it will come later, but there’s a lot to see.”