Despite a wave of turmoil in the tech industry, Apple has managed to stand strong. While competitors like Nvidia and Oracle saw their wealth shrink by $108 billion, Apple’s stock actually saw a 3% increase. This could be tied to Apple’s deliberate pace in adopting AI technologies, something that’s put them in a favorable position as others rush to compete.

Apple has traditionally been slower than its peers when it comes to AI. Unlike many tech giants pouring massive investments into artificial intelligence, Apple’s approach has been more cautious. Some even raised concerns that this delay could harm its ability to stay competitive. But as the market faced DeepSeek’s emergence, things started to change.

Instead of suffering, Apple found itself benefiting from skepticism about other companies’ heavy AI spending. DeepSeek, a Chinese AI startup, offers a cheaper alternative that has left investors questioning whether the massive costs poured into AI at companies like Nvidia and Oracle are truly worth it.

In its recent earnings report for Q4 2024, Apple posted a 4% revenue growth despite a decline in iPhone sales, particularly in China, due to increased competition. Tim Cook, Apple’s CEO, welcomed the emergence of DeepSeek. He shared that innovation that improves efficiency is always a good thing for the tech industry, a sentiment that aligns well with Apple’s vision for the future.

Apple’s AI strategy is a blend of using its own internal models for everyday tasks while turning to third-party providers for more complex functions. One of its key partners right now is OpenAI’s ChatGPT, but this partnership isn’t exclusive, so Apple could potentially integrate other AI solutions in the future.

Although Apple hasn’t specifically mentioned DeepSeek, some rumors suggest it could be a strategic partner in China. Apple’s AI technology, Apple Intelligence, hasn’t yet made it to Chinese consumers due to regulatory requirements, and a partnership with DeepSeek might provide the solution Apple needs to gain access to this market. But for now, this is all speculation.

In a market that’s shifting rapidly, Apple’s approach to AI might give it the flexibility to stay ahead while others struggle to find their footing. If the company can successfully navigate regulatory challenges, it could be poised to capitalize on the growing demand for AI-powered services, especially in China.

SOURCE: CNBC INDONESIA, WCCFTECH

PHOTO: TECHINSIDE

This article was created with AI assistance.