Apple's moves in the AI race, including the announcement of Apple Intelligence, have lifted analysts' projections for its device sales, which helped push the stock to a record high.
Apple shares rose to a record high during Monday's trading session after Morgan Stanley designated the stock as a "top pick" due to the company's artificial intelligence push to boost device sales. Last month, Apple unveiled Apple Intelligence as a way to encourage customers to upgrade their devices to the latest models that have the new built-in AI functionality. The move came as Apple was seen as lagging behind Alphabet's Google and Microsoft-backed OpenAI in the AI race.
The new Apple Intelligence technology is compatible with only 8% of iPhone and iPad devices and Apple currently has 1.3 billion units of smartphones in use by customers, the analysts noted. They added that Apple could sell nearly 500 million iPhones over the next two years. The firm previously expected Apple to sell between 230 million and 235 million iPhones annually over the next two years and raised its price target to $273 from $216 based on the new projections.
Industry analysts expect Samsung and Apple to lead a global smartphone market recovery this year amid the buzz around generative AI-enabled smartphones. Apple sold 45.2 million smartphones globally in the three months ending in June, up from 44.5 million a year ago, although its market share fell to 15.8% from 16.6% in the same period, according to IDC data. GET FOX BUSINESS ON THE GO BY CLICKING HERE Reuters contributed to this report.
United Kingdom Latest News, United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Apple Intelligence will lead to a massive iPhone and iPad supercycle, Morgan Stanley saysA new Morgan Stanley report seen by BGR shows that Apple Intelligence could be responsible for boosting iPhone and iPad shipments.
Read more »
Apple stock rises as Morgan Stanley names it Top Pick ahead of iPhone 16 launchApple stock rises as Morgan Stanley names it Top Pick ahead of iPhone 16 launch
Read more »
Apple seeds iPadOS 18 beta 2 ahead of Apple Intelligence releaseWith iPadOS 18 beta 2 now available, developers can try the features coming to iPad users later this fall. Here's everything we know.
Read more »
Apple Intelligence goes against the entire Apple ethos — in a good wayApple's walled garden is getting upended by its more open approach to AI partnerships.
Read more »
Apple Explains Why Apple Intelligence Exclusivity on iPhone 15 Pro Isn’t a ‘Cash Grab’The only phones that can currently use Apple Intelligence are the iPhone 15 Pro and Pro Max, though it might have to do more with RAM than the NPU.
Read more »
Apple explains why Apple Intelligence is limited to the newest iPhone 15 ProJohanna 'Jojo the Techie' is a skilled mobile technology expert with over 15 years of hands-on experience, specializing in the Google ecosystem and Pixel devices. Known for her user-friendly approach, she leverages her vast tech support background to provide accessible and insightful coverage on latest technology trends.
Read more »