Media reports indicate that Apple is undergoing a key adjustment to its artificial intelligence (AI) strategy: on one hand, it is opening up the Siri ecosystem to introduce multiple external AI services; on the other hand, it is retaining core hardware talent through substantial incentives while accelerating product line rationalization and restructuring.
From software platforms to talent competition and hardware deployment, this demonstrates the tech giant's attempt to re-establish its competitive position amidst the AI wave.
<h2>Opening Up the Siri Ecosystem: Apple's AI Strategy Shift</h2>
According to sources familiar with the matter who spoke to the media, Apple is preparing to open up Siri to external AI assistants in the upcoming iOS 27 operating system update, as part of a comprehensive overhaul of Siri. Currently, Siri can access ChatGPT through a partnership with OpenAI, but Apple will allow other competing services to achieve the same level of access in the future.
Analysis suggests this adjustment is a significant step for Apple to reverse its lag in the AI field. Compared to its Silicon Valley peers, Apple has progressed more slowly in AI, and the reshaping of Siri is central to its revitalization plan.
Sources familiar with the matter told the media that Apple is developing new tools to enable AI chatbot applications installed via the App Store to integrate with the Siri assistant. These chatbots will also work in conjunction with the upcoming Siri application and other features within the Apple Intelligence platform.
This means, for example, that if a user installs Google Gemini from Alphabet or Anthropic's Claude, they will be able to send requests directly to these services within the Siri voice assistant, much like they have been able to do with ChatGPT since the launch of Apple Intelligence in 2024.
Furthermore, this approach will help Apple generate more revenue from third-party AI subscription services through the App Store.
This change is separate from Apple's previous work with Google to rebuild Siri using Google's Gemini models. The latter primarily involves Siri's underlying technology, whereas the new so-called &#34;Extensions&#34; system allows users to process requests directly through the actual Gemini service – provided Google allows its application to support this functionality.
However, this news briefly put pressure on Google's stock, which touched a low during intraday trading on Thursday. The stock ultimately closed at $280.74, down 3%; Apple's stock remained largely flat, closing at $252.89.
<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/f25305b2-19ab-40a0-9364-4cea86e3250a.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/f25305b2-19ab-40a0-9364-4cea86e3250a.png"/>
<h2>Not Initially Set on OpenAI: Internal Disagreements at Apple</h2>
According to media reports, this move will break ChatGPT's exclusive status within Apple's software. In fact, there was internal debate at Apple regarding whether to partner with OpenAI when choosing initial partners. John Giannandrea, Apple's former head of AI, had questioned the startup's sustainability and favored a partnership with Google.
Before ultimately selecting ChatGPT as the initial partner for Apple Intelligence, Apple internally tested and compared several AI chatbots. After a period of negotiation, the company concluded that OpenAI's product was the best choice at the time.
The new strategy will eliminate the need for one-to-one integration partnerships like the one with ChatGPT. This means Apple can introduce multiple external AI services more quickly and expand AI's application within its operating systems without complex commercial negotiations.
Currently, users need to explicitly specify the use of OpenAI's services to forward Siri requests to ChatGPT. Under the new system, users will be able to directly choose which AI service to use for each request.
Several mainstream AI platforms already exist as applications within the Apple ecosystem, including Perplexity, Amazon's Alexa, Meta's Meta AI, xAI's Grok, and Microsoft's Copilot. However, it remains unclear whether Apple will allow all AI applications to integrate with Siri or if it will establish a dedicated review mechanism.
During the development of Apple Intelligence, Apple envisioned Siri connecting to multiple AI services and cited examples of integrating specialized chatbots for different fields, such as medical assistants. Apple stated in 2024 that it was pursuing integration with Gemini, but the project ultimately did not materialize.
Under the new strategy, Apple can also further expand its services revenue by taking a commission on subscriptions to these third-party AI services. Currently, Apple profits from users subscribing to premium versions of ChatGPT by providing its payment system.
Opening up Siri is just one of several AI initiatives Apple is pursuing. This week, reports emerged that Apple is also developing a standalone Siri app and a new interface. Additionally, the company plans to integrate Siri with its Spotlight search function and add entry options such as &#34;Ask Siri&#34; and &#34;Write with Siri.&#34;
<h2>Heavy Investment in Talent Retention: Combating the AI Talent Drain</h2>
Concurrently, Apple Inc. this week issued rare, additional bonuses to its iPhone hardware design team to curb the trend of employees moving to AI startups like OpenAI that are developing their own devices.
According to sources familiar with the matter who spoke to the media, the company awarded many members of the iPhone product design team non-periodic bonuses totaling hundreds of thousands of dollars.
Apple's management is increasingly concerned as more engineers are poached by potential competitors. OpenAI, in particular, poses a significant threat, having invited Jony Ive, Apple's former design chief, to help design its next generation of AI-centric products.
Sources familiar with the matter stated that these bonuses are issued as stock units vested over four years, meaning employees must remain with Apple to receive their full value. This is a common structure for Apple's equity compensation.
Media reports indicate that in many cases, these awards differ from Apple's regular bonuses and are valued at approximately $200,000 to $400,000 over the entire vesting period. Depending on Apple's stock performance, these awards could ultimately yield higher returns.
Employees view these bonuses as a direct response to the recent intensified poaching efforts by startups. However, these bonuses still represent only a fraction of the compensation offered by companies like OpenAI. In some instances, these companies offer annual stock compensation of around $1 million to individual Apple engineers to lure them away.
The industry's rapid transition to AI caught Apple somewhat off guard, and engineers and designers are increasingly seeking new opportunities. Media reports suggest that while this bonus issuance is unusual, it is not the first time Apple has taken similar measures. Three years ago, when facing concerns about talent poaching, the company also issued similar incentive programs, which were reported by the media at the time.
Last year, Apple also increased compensation for its internal modeling teams amidst the talent war for AI researchers. At that time, Meta was reportedly offering compensation exceeding $100 million in some cases.
<h2>Product Line Contraction: Mac Pro Officially Retired</h2>
Furthermore, Apple Inc. removed the Mac Pro desktop computer from its official website on Thursday. This was the company's highest-end model, priced at $6,999, targeting users such as video editors and photographers.
The product had not been updated since 2023, when Apple released the first version equipped with its proprietary M2 Ultra chip. However, with the smaller Mac Studio being upgraded to the M3 Ultra last year, this configuration had become significantly outdated.
Due to overlapping functionality and performance with the less expensive Mac Studio, the Mac Pro's importance within Apple's computer lineup had steadily declined. Additionally, its sales volume has always been small, and Apple had been gradually clearing inventory at its stores over the past few weeks.
Media reports had indicated plans for discontinuation as early as last December. Earlier this month, Apple also stopped selling the Pro Display XDR, which was released in 2019 alongside the redesigned Mac Pro. In its place, the company introduced the new Studio Display for other Mac products.
Apple had originally planned to gradually replace the Mac Pro with the Mac Studio, but this process encountered opposition from some users. These users wished to retain the Mac Pro's stronger expandability, such as support for components like network cards, which was largely due to its larger chassis.
Media reports suggest that Apple plans to launch a new Mac Studio with a faster processor later this year. The Mac Pro was the only Apple device manufactured in the United States. However, the company announced in February this year that it would begin producing the Mac mini at a factory in Houston later this year.

AAPL

Apple is accelerating its AI strategic transformation: on one hand, it plans to open up Siri and introduce multiple external AI services, weakening ChatGPT's exclusive position; on the other hand, it is retaining core hardware talent through substantial equity incentives to counter poaching pressure from OpenAI and others. Simultaneously, the company is adjusting its product lines, discontinuing the Mac Pro and shifting focus to the Mac Studio

- Apple is making a significant shift in its AI strategy by opening the Siri ecosystem to multiple external AI services and offering substantial incentives to retain key hardware talent.  
- This move aims to reestablish Apple’s competitive position in the AI sector, where it has been lagging behind other Silicon Valley competitors, particularly by integrating various AI chatbots into Siri.  
- Additionally, Apple has discontinued the Mac Pro due to declining importance and sales, directing its focus on the more competitive Mac Studio lineup.

Wallstreetcn

Apple

C3.AI

Invesco Semiconductors ETF

GraniteShares 2x Long AAPL Daily ETF

Invesco S&P 500 Equal Weight Tech ETF

Direxion Daily AAPL Bull 2X Shares

T-Rex 2X Long Apple Daily Target ETF

Global X Cloud Computing ETF

iShares Expanded Tech Software Sector ETF

VanEck Semiconductor ETF

Direxion Semicon Bull 3X

SPDR S&P Semicon

ISHRS S&P Glb It

iShares Semiconductor ETF

SPDR S&P Software

YieldMax AI Option Income Strategy ETF

Direxion Daily AAPL Bear 1x Shares

Kurv Yield Premium Strategy Apple Aapl ETF

YieldMax AAPL Option Income Strategy ETF

Apple's AI Strategy Pivot: Opening Siri to Break ChatGPT Monopoly, Investing Heavily to Retain Talent Amidst Poaching Wave