Cook Casts Apple’s $2.46 Billion On-Device AI Push as Edge in Final Earnings Call
Updated
Updated · Yahoo Finance · Jul 31
Cook Casts Apple’s $2.46 Billion On-Device AI Push as Edge in Final Earnings Call
3 articles · Updated · Yahoo Finance · Jul 31
Summary
Tim Cook used his final earnings call as CEO to argue Apple’s ability to run AI on iPhones and Macs is a strategic edge over cloud-heavy rivals.
Apple spent $2.46 billion in June-quarter capex—far below peers planning more than $100 billion this year—while Cook said operating expenses are still rising as AI investment increases.
Disney’s creative teams are already using Macs for on-device AI workflows that cut cloud token costs and keep intellectual property secure, Cook said, offering a real-world case for the approach.
Siri’s fall update will test that strategy: Apple plans to handle simpler requests on device and send heavier tasks such as image generation to Google Cloud, while weighing iCloud+ upgrades for heavy AI users.
John Ternus takes over on Sept. 1 with Apple still under pressure over delayed generative AI features and higher memory and storage costs tied to the broader AI infrastructure boom.