More thoughts on Apple, $AAPL and AI | by anice hassim | March 2024 – Medium

More thoughts on Apple, $AAPL and AI |  by anice hassim |  March 2024 – Medium

anice hassim

Hyperscalers will hyperscale.

Photo by Denise Chan on Unsplash

Devices, AI, new services and “iOS/Android” – the new AI economy will skyrocket as these effects become clearer over the next year and Apple emerges as a consumer choice.

Apple has the segment of humans who move more nimbly than others, who will adopt new things more quickly, who can afford new things sooner. They are the ones who will demand new products and services that motivate parts manufacturers – NVIDIA et al.

You can’t, on the one hand, say that nVidia’s price is reasonable for the AI ​​benefits, without then evaluating those same tailwinds for Apple. Apple has the human economy for this and is ready to take advantage of it.

If nVidia can grow 200% in a quarter, so can Apple, probably even faster, depending on how the opportunity crystallizes. A year is a long time in tech.

Also expect Apple MM1 and other initiatives to pay off in their AI strategy, leveraging the privacy economy and processing it all on the device.

In this case, Apple will not face a bottleneck in marketing its services through the supply of chips. Once again, for regular readers, let’s repeat: the Neural Engine has been delivered in Apple Silicon since 1917!

Apple’s AI processing is already present in a network mesh of devices, waiting to be illuminated by workloads.

Apple will flourish as quickly, if not faster, than the rest of the market, except perhaps in certain niche-intensive tasks that the processing of its device does not handle (yet) or in certain capabilities of its device on which it chooses not to concentrate.

I’ve always seen Apple’s formulas as Current -1.

They focus on the current product and the one it replaced. The current and latest iPhone model. The current version of the operating system and the latest.

The customers Apple is looking for are those who “continually look to the future” and harness the value of iterative change. The consumer who always wants the newest devices, or at least stay up to date primarily.

This comes from Apple’s iterative rhythm – the tick tock, tick tock, sometimes toc toc of innovation and improvement.

It attracts clients who appreciate (perhaps not consciously) their design-led thinking. I don’t think the average Apple user’s navel looks or even thinks much about Apple like the community does. They just like living in an environment where someone cares about details.

This “human” market, as opposed to a social platform (which is an element of being human), constitutes a vast trust gap that will allow Apple to stay ahead of the curve and be more agile than most others.

In full bloom of the AI ​​era, Apple will be able to benefit from the Cambrian explosion since, to paraphrase an American president, “they have the best humans” 🙂

And the next big thing, like Uber, AirBnB, etc., spawned by the App Store, will likely emerge from an Apple-infused AI ecosystem.

Apple’s best days are ahead of it.

So in a year, $AAPL should be considerably higher, otherwise this whole AI thing is just a mirage 🙂

PS “Apple has the best humans” does not mean that Apple users or Apple themselves are somehow morally, economically or socially superior to any other user.

Simply, Apple has built an ecosystem of connected humans who can swarm and focus their attention fluidly and adaptively and who have the highest propensity to do so.

Just like social media does. Some networks are good at certain elements, others are good at other parts of the spectrum.

But Apple is the only one that owns the entire stack. And they are the best customers you can have. Antitrust be damned. Failure to do so, and making a factory a commercial enterprise, is what got Boeing into trouble.

And that’s why Apple has our trust. Because there is someone who is clearly responsible and we can call on them, as we frequently do, to change or do better.



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