<div id="readability-page-1"><div><div>On Thursday, Wedbush analyst Dan Ives called Tim Cook-led Apple Inc.'s AAPL artificial intelligence strategy a &#34;disaster&#34; as he once again reiterated that the tech giant is lagging far behind competitors like Meta Platforms, Inc. META, Microsoft Corporation MSFT and startups like OpenAI.<h2>Ives Says Wall Street Doesn't Believe Apple Can Do Major Innovation Internally</h2>Speaking on Bloomberg Tech, Ives described Apple's AI strategy as &#34;a disaster&#34; and said the company is being overtaken by rivals such as Microsoft, Alphabet Inc.'s GOOG GOOGL Google, Meta and Nvidia Corporation NVDA.He criticized Apple's internal AI development, noting that products like Siri have failed to impress.“Nothing’s going to happen internally,” he said when asked how much better Siri needs to be, adding, “It’s not happening internally and there’s no one on the Street that believes any innovation is coming out of Apple when it comes to AI organically.”<h2>Ives Once Again Says, For Apple Acquisition And Partnerships Are Critical</h2>While speaking on the show, Ives reiterated, saying, “They’re going to have to do an acquisition. I mean, look, it’s the reality of the situation.”Previously, to close the AI gap, Ives suggested a three-pronged approach: acquire the AI search engine Perplexity, recruit top AI talent and consider integrating Google's Gemini AI.<h2>But, Why Does Dan Ives Still Keep The $270 Price Target</h2>Despite innovation concerns, Ives has continued to maintain an &#34;outperform&#34; rating on Apple with a $270 price targetWhen asked about this on the show, the analyst noted that positive developments—like Apple securing tariff relief from the Donald Trump administration.<h2>Apple's Slow AI Growth Can Have An Impact On Tim Cook's Legacy</h2>Earlier, Ives said that Apple risks falling behind in the AI sector, potentially tarnishing CEO Cook's legacy. He said that with Apple's competitors moving aggressively, Cupertino must act quickly to secure its place in the next industrial and technological revolution or risk being benched.With more than 2.4 billion iOS devices globally, Apple has a clear consumer advantage, but without a bold AI strategy, its leadership in tech could be challenged by faster-moving rivals.Price Action: On Thursday, Apple shares slipped 0.24% during regular trading and edged down another 0.16% after hours, according to Benzinga Pro.Benzinga's Edge Stock Rankings indicate that AAPL has maintained a solid upward trajectory across short, medium and long-term timeframes. Additional performance details are available here.Photo Courtesy: hanohiki on Shutterstock.com<ul> <li>AMD CEO Lisa Su Says China Strategy Rebounding As MI308 AI Chips Await US License: ‘Better Position Than We Were Ninety Days Ago'</li> </ul></div></div></div>

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Wedbush analyst Dan Ives criticized Apple Inc.'s AI strategy, calling it a "disaster" and stating that the company is lagging behind competitors like Microsoft and Meta. He emphasized that Wall Street lacks confidence in Apple's ability to innovate internally, particularly with products like Siri. Ives suggested that Apple needs to pursue acquisitions and partnerships to close the AI gap. Despite these concerns, he maintains an "outperform" rating on Apple with a $270 price target, citing potential positive developments. Apple shares fell slightly during trading.

- Wedbush analyst Dan Ives criticized Apple Inc.'s AI strategy, labeling it a "disaster" and claiming the company is falling behind competitors like Microsoft and Meta.  
- Ives emphasized the need for Apple to pursue acquisitions and partnerships to enhance its AI capabilities, suggesting the acquisition of AI search engine Perplexity and recruitment of top talent.  
- Despite these concerns, Ives maintains a $270 price target for Apple, citing potential positive developments such as tariff relief, while warning that slow AI growth could impact CEO Tim Cook's legacy.  

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Dan Ives Says Apple's AI Strategy Has Been A 'Disaster' And No One On The Street Believes Innovation Will Come From Within