Apple is in a promising position to dominate the impending hot Edge AI devices because Apple has the right talents and a powerful AI chip that can do on-device inference very well. Killing the project Titan (only staffed with 2000 people, thought it would be more) which already help produce Vision Pro and focusing on on-device inference hardware is the right move. If TC insists on making a car, should just buy Rivian and replace its UI with Car Play… make sure not to integrate back to Apple org… treat it as a subsidiary just like Beat and Filemaker.
Edge AI devices
Existing: iPhone, Apple Watch, Vision Pro
New/ need mod: AirPods (with camera), HomePod (with a display)
Gen AI hot trend is a godsend to Tim Cook.
If Apple can execute extremely well, $5-$10T market cap is achievable.
Apple spent 10 years on cars. Last count 2000 people were working on it as recently as last week. It means they think it’s an important project. But they can’t make anything that’s substantially better than what’s out there. Not “insanely great” in Jobs language.
GenAI caught Apple management by surprise. They had no plans last year and panicked. Now Apple is 5 years behind Microsoft and Meta. Even in 2023 Apple hasn’t bought that many Nvidia chips, meaning their AI effort is still not up to speed.
Everybody is already running full steam ahead. Apple is still figuring out which way it should go.
You view cow dunk by media and commentators as plain truth. Years of college education do you no good. Anyhoo, thank you for the good laugh. My advice to you is to read raw data and put on your thinking cap rather than adopt the views of commentators and media… they like to twist facts and make outrageous claims to gain eyeballs… they really don’t care whether it is true or not.
If what you said is true, Apple should fire the AI guy…
IMHO, 2000 is too few which tell me something. I recall Steve Jobs mentioned the number of engineers working on iPhone was in the order of 10,000s, can’t remember the number and couldn’t find in the web.
Up until last week Apple’s AI strategy was mostly self driving cars.
2000 people is a lot by Apple standard. The telltale it’s a sinking ship is that Apple did not buy that many Nvidia chips, and therefore not a real AI company.
What kind of chips are NVDA selling? Do Apple need them? Is there an alternative or even more productive way of fulfilling the need? Do Apple need as many H100s as companies like MSFT?
When did Apple call itself an AI company? AFAIK, Elon Musk keeps calling TSLA an AI and robotic company.
.
Btw, don’t read too many Reddit and don’t blindly adopt the views of Redditers.
Exceptional gain is obtained by recognizing an exceptional change in fundamental at the point of change. Such change causes a sharp change (reversal or gap up) in a time series. Ditto for opposite. Looking back, Apple has a few such changes:
a. Return of SJ
b. Launch of iTunes
c. Launch of iPhone
d. …
For NVDA,
a. Launch of GPU
b. Launch of CUDA
c. Start of AI (ML kind)
d. Start of AI (LLM kind)
e…
Kuo says some of Apple’s smaller Vision Pro suppliers are expanding production and he estimates the current return rate for the device is less than 1%.
Return rate is about the same as most Apple Pro products.
Ming-Chi Kuo, an analyst who often reports on Apple’s supply chain, estimates that 20% to 30% of Apple Vision Pro returns stem from users not knowing how to set up the mixed-reality headset, he wrote Wednesday.
Selective report from Kuo? Here’s what he has to say about future ASP models:
The market generally expects Apple to release a lower-priced version with downgraded specs (e.g., reduced number of cameras, removal of EyeSight, etc.) and a new model with upgraded specs. However, my latest survey indicates that Apple has not officially started either project.
That matches my prediction. The cheaper “SE” model won’t come for another 5 years at least. Therefore ASP will remain too expensive for most people, even for diehard fanboys who always makes excuses not to buy one.
More Kuo:
The shipping time after pre-orders opened on 19 January was in early March, meaning that although Vision Pro sold out after pre-orders opened due to early adopters buying it, demand for the device declined rapidly and has stayed the same. It confirms the conclusion of my previous survey (read more in “Vision Pro’s first-weekend pre-order review: expectations met, but concerns raised”).
For Apple and most suppliers, the Vision Pro investment theme still has a limited impact on the share price.
The three critical factors in moving Vision Pro from a niche to a mass-market product are applications, price, and headwear comfort. Improvements/changes in these three critical factors will be important to watch.
You want to know the return rate… I work hard and get you the rate… now you want something else. You should do your own DD, not making outrageous statements and expect people to do the thinking and DD for you
Adam Khoo has a plan. Do you? Well researched long term investor BTFD well managed company with strong long term fundamentals, not talk sh?t about short term issues.
EWT:
Green labels is preferred count. AAPL is in Minor degree wave (2).
White labels is an alternative count. AAPL is in Intermediary degree wave iv.
Blue labels is 2nd alternative count. AAPL is in Primary degree wave 2.
, $5-$10T 
market cap is achievable.
