Over 12,000 engineers joined Apple in the last year, with 40% working on AI. This marks a big change for Apple, which was slow to enter the AI race. Now, a secret team called "Answers, Knowledge and Information" (AKI) is working on a new answer engine. This is Apple's biggest move yet to regain its lead in innovation.

Inside Tim Cook’s push to get Apple back in the AI race

At a recent meeting, the CEO said, “We must do this.” He emphasized the need to create AI tools in-house, not rely on others. This move is classic Apple—entering late but changing the game with user-focused design.
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The AKI team is doing more than just chatbots. They're making Siri and Safari better and creating new apps. This is Apple's biggest tech change since the iPhone, aiming to beat Google and Microsoft in AI.

Key Takeaways

• Apple hired 12,000 workers in 12 months, with 40% joining AI-focused R&D teams
• A new internal division (AKI) is developing proprietary AI-powered search technology
• The CEO personally champions AI as transformative as smartphones or cloud computing
• Strategy combines standalone AI apps with backend upgrades for existing services
• Company aims to replicate its history of market redefinition through delayed entries
• Massive resource reallocation signals commitment to catching rivals in AI innovation

Apple's AI Resurgence Overview

While others made chatbots, Apple partnered with OpenAI. This allowed for ChatGPT integration and time to build its own AI systems.

Quiet Strategic Moves in the AI Race

Apple's team was unsure about chatbot demand. They wondered if users wanted AI assistants. "We need solutions that feel essential, not experimental," said a team lead.

The company moved 300+ engineers to AI projects last year. They also hired experts in search algorithms. This plan strengthened Apple's tech without losing quality. A three-phase roadmap was set:

Evolution of Siri and Apple Intelligence

The rebranded Apple Intelligence framework focuses on privacy. It has three layers:

• On-device processing for basic requests
• Secure cloud computing for complex tasks
• Anonymous ChatGPT queries with masked IPs

Future updates will make Siri smarter. It will analyze app content and guess what you need. Early tests show Siri is now 40% faster than before.

This change makes Siri more than just a voice assistant. It becomes a guide that understands your needs.

Inside Tim Cook's push to get Apple back in the AI race

At a recent company meeting, the CEO talked about AI. He called it "the next frontier we must own." He compared it to the smartphone revolution.

This speech set the stage for big changes in the company.

Leadership Vision and Commitment

The CEO leads weekly strategy sessions. He wants updates from every engineering team. "This isn't about catching up—it's about redefining what's possible," he said.

He looks at the company's history for guidance. Apple has always entered new markets with big solutions.

Formation of the AKI Team and Internal Debates

Robby Walker was chosen to lead the Answers, Knowledge and Information group. This sparked a lot of debate. Software teams were hesitant to move resources from other projects.

"We had to prove consumer demand for AI-enhanced search," said one engineer. Market trends eventually proved them right, justifying the move.

Revamping Core Technologies and Future Launches

Mike Rockwell was promoted to lead Siri's update. He believes in a hardware-first approach. The Vision Pro architect decided against using old and new architectures together.

Spring 2026 is the target for a new Siri. Test versions are 3x faster than the current Siri.
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Apple spent $1.2 billion on machine learning last quarter. This money is used for hiring and buying companies. It helps Apple keep its quality high while moving fast.

Impacts on Investors, Competitors, and the Tech Landscape

Apple's recent earnings were a mix. The company's stock went up 14% in a week. But, most of this growth came from smartphone sales, not AI.

This shows the challenge Apple faces. It needs to win over investors who are used to seeing growth in hardware sales.

Market and Investor Reactions to AI Investments

Investors are divided. Some see the $1 billion quarterly R&D boost as a sign of commitment. Others worry that Google and Microsoft are already making money from AI.

"We're betting on long-term integration, not quick wins," said one investor in a report.

Comparative Analysis with Competitors

The table below shows how Apple differs from its competitors:

Android makers are now adding AI to their cameras and voice features. This is a challenge to the iPhone's market position. The $20 billion Google search deal also faces legal threats that could change the tech world quickly.

To stay ahead, Apple plans to introduce new AI features next year. Success depends on combining its hardware skills with machine learning. This could change the whole industry race.

Conclusion

In a world that values speed, Apple focuses on precision. The company is rumored to be working on a support assistant and a simplified Answers engine. These tools aim to solve real problems, not just to impress.

This strategy is nothing new for Apple. They've always entered markets with improved technology. Their recent investments show they're looking to do more than just chatbots. They want to make devices work together smoothly.

Privacy is a big deal for Apple. They know people are getting tired of their data being used without permission. This sets them apart in a world where data is often shared without care.

There's talk of Apple buying companies like Perplexity or Runway AI. This shows they're willing to spend big to get what they want. But the real power comes from their ecosystem. Hardware and software working together could change the game for intelligence apps.

While others are all about making headlines, Apple is focused on making a lasting difference. They don't try to be the first to do something. Instead, they perfect what others have started.