Apple Brings OS-based AI to Billions!

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Trump Talks Tech - Trump raised $12M at a San Fran tech fundraiser hosted by VCs/podcasters David Sacks and Chamath Palihapitiya covering AI and deep fakes and pitching himself as a 'crypto president'.

"Common Sense Safety Standards" - The tech industry opposes a California bill that requires AI companies to report safety tests and add a kill switch for their advanced models. Critics believe it will stifle innovation.

Musk Pay Saga - Two major shareholders revealed they will vote against Tesla CEO Elon Musk’s $56B pay package in Thursday’s vote on the matter.

Privacy Threat - Elon Musk threatened to ban Apple devices at his companies citing privacy and security concerns over its OpenAI integration.

Training Data - Despite strict EU data privacy laws, Meta plans to use public social media posts from its European users to train its LLMs.

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Apple Brings OS-based AI to Billions!

Apple Intelligence’ looks set to test regular people's appetite for AI. It’s a game-changer because it is the first free AI service integrated into a major mobile operating system used by billions of loyal users globally. CEO Tim Cook stressed that this tech goes beyond AI calling it “personal intelligence”, and “the next big step for Apple.” It aims to “understand you and be grounded in your personal context.” And because it’s Apple, of course “it has to be built with privacy from the ground up.”

Key WWDC announcement data:

  • Apple Intelligence will roll out across iPhones, iPads, and Macs;

  • It will use AI models developed in-house;

  • Core tasks will use on-device processing on Apple's server chips;

  • A partnership with OpenAI for more complex cloud-based tasks;

  • A "private" cloud-based system called Private Cloud Compute;

  • Will arrive in updated iOS18 this fall on iPhone 15 Pro series, & iPad and Mac with M1 chips and later.

What is Apple Intelligence?

AI Features Apple is launching include:

  • Transcribe phone calls, summarize texts, email, docs, and notes;

  • AI-upgraded Siri to execute tasks in emails, calendar, photos, apps;

  • “Safari Highlights” summarizes content in web pages;

  • Automatic email and text responses;

  • OpenAI-powered chatGPT-4o for more complex AI tasks;

  • AI-created custom emojis;

  • Voice memo transcription, photo retouching, and suggested replies to emails and messages.

The Big Picture

Overall Apple appears to have done well at balancing desire for more AI power than it was ready to offer on-device with a privacy -centric approach. The PCC solution allows it to build secure, trustworthy specialized cloud server hardware in its own data centers to “outsource” heavy AI tasks to. This isn’t an easy task, but Apple is using innovation and best practice to achieve it. The test will be if users trust it, and if these tools become widely used and actually “practical” in reality rather than name.

“This is the LLM moment for the ages, LLMs built into the OS for billions of people… Agentic LLMs with my personal context, will unlock how people use AI with on device processing!

Alex Volkov (Thursd/AI)

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Apple - VisionOS can now make spatial photos out of 3D images.

Nokia - "Immersive audio and video" 3D spatial sound calling on cellular.

xAI - Grok may launch new image generation and web search capabilities.


Google - SurfPerch AI tool processes data to monitor coral reef health.

Smell-bot - Robot dog 'sniffs' hazardous gases in inaccessible areas.

OpenCRISPR-1 - AI Gene Editing to modify human DNA in cancer therapy.

Closed Deals:

Reusable Rockets - Beijing startup Space Pioneer raised a $207M Series C extension for its reusable kerosene-oxygen fueled "Sky Dragon" rockets.

Adaptive Neuromodulation - London neural implant startup Amber Therapeutics closed a $100M Series A round led by NEA, and backed by F-Prime, Lightstone, Intuitive, Oxford Science Enterprises and 8VC.

Deals to Watch:

[IPO] Shein - The China-founded fast fashion giant eyes an IPO with 40% revenue growth and doubled net profit in 2023, with sales of $32.2B.


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