Apple: AI is the new UI

MARKETING & CUSTOMER EXPERIENCE

Two strategic questions regularly come up regarding Apple's future: when is the company going to catch up on AI? and when will Apple radically innovate once again to reduce its dependence on the iPhone? My perspective in French Daily Les Echos on the launch of the iPhone Duo and the new version of Siri AI.

Is Apple Really Late In the AI Game?

For several years now, Apple has faced accusations of lacking radical innovation and lagging behind in the AI race. This narrative is partially flawed: Apple’s true challenge isn't about selling AI computing power, but rather reimagining the human-computer interface.

All eyes were on John Ternus, Apple’s new CEO, as he delivered his highly anticipated first keynote. In my view, he passed this trial by fire with flying colors, successfully restoring confidence in Apple’s ability to deliver disruptive experiences across both AI and the iPhone.

Is Apple Innovating Again with a Foldable Smartphone?

Apple may be late to the foldable smartphone market, but its entry is designed to reinvent the category and unlock new use cases.

The company has finally unveiled its first-ever foldable device, the iPhone Duo, with a hefty starting price of €2,300, climbing well past the €3,000 mark for higher storage tiers. I believe Apple's strategy is to migrate a segment of its traditional Pro users toward this technological marvel to cultivate a new status symbol, effectively creating a hybrid category bridging the iPad mini and the traditional smartphone.

As I noted in a recent article for Les Echos: "Arriving seven years after its competitors in the foldable space, Apple is compelled to redefine the high-end smartphone market. Surging memory component costs and current smartphone market dynamics have driven the company to orchestrate a meticulously calculated ultra-premium positioning to protect its margins."

Historically, Apple is rarely first to market—yet that hasn't stopped them from revolutionizing MP3 players with the iPod, smartphones with the iPhone, or wearables with the Apple Watch. While it's true that Apple remains heavily reliant on the iPhone (which still accounts for over 50% of its revenue), claiming the company has lost its innovative edge or its ability to execute major product launches is simply inaccurate. Let’s not forget that in just a few short years, Apple built a recurring subscription Services business generating over $100 billion in revenue.

From a business perspective, it is easy to underestimate Apple's sheer scale. As I pointed out to Florian Dèbes in another Les Echos piece, even if we account for initial supply chain constraints and assume a conservative estimate of a few million units sold, we are still looking at a $10 billion product launch in its very first year.

Brand-wise, Apple has navigated a highly risky marketing gamble successfully. It required surgical precision in targeting to differentiate the foldable iPhone from the iPhone 18 Pro, alongside flawless launch execution. Ultimately, the promised experiential breakthrough is very much a reality.

Why is AI Becoming the Interface?

For Apple, the AI stakes aren't about providing raw computing power or B2B productivity gains; they are about fundamentally reinventing the human-computer interface for the end consumer. AI is the new UI.

Admittedly, Siri has underperformed in recent years, and Apple’s reliance on OpenAI—and now Google—for its AI capabilities might raise eyebrows. Yet, let's remember that Apple has long used Google Search as its default engine without facing major pushback.

Apple's AI play isn't about heavily investing in infrastructure, cloud services, data centers, or LLMs to monetize enterprise computing. Instead of focusing on workplace productivity, Apple is focused on redesigning the interface. This requires establishing deep user trust and achieving a nuanced understanding of intent and context. I maintain that Apple is uniquely positioned to successfully "crack the code" on consumer AI.

Consequently, Apple has finally rolled out a revamped Siri AI, positioning it as an intelligent orchestrator and assistant. It manages conversational history, taps into personal context (photos, messages), and executes cross-app actions. This AI ecosystem seamlessly extends to the wrist via the Apple Watch and to the ear with real-time translation on the AirPods 5. Crucially, this is all delivered with a focus on transparency and security, leveraging on-device processing paired with their proprietary Private Cloud Compute.

European consumers, however, will not have access to Siri AI—at least not yet, due to the Digital Markets Act (DMA). From a geopolitical standpoint, the AI landscape is fragmenting, mirroring the broader state of our world.

What Are the Key Takeaways for Marketing and CX Leaders?

Apple will remain a major player in the AI race by reinventing the user interface. Brands must start preparing now to rethink their websites and mobile apps for the AI era.

The Art and Science of Marketing: As the quintessential iconic brand, Apple still masters both the art and science of marketing. Brands would do well to take a page from the Apple playbook rather than hastily criticizing a perceived lack of radical innovation.
The Next Era of Interaction: We are still in the early stages of the AI revolution. The primary challenge isn't just boosting internal team productivity; it's entirely rethinking how customers will interact with brands in the future.
Context is King: Businesses must begin contextualizing their data today to tailor the user experience across multimodal interfaces, where interactions will become increasingly conversational.

By Thomas Husson, independent analyst.

I believe in quality over quantity so don’t expect daily or even weekly updates, but rather bi-monthly or monthly news – assuming I’ll only write when I have something meaningful to share.