Apple Intelligence's Advanced Features Could Eventually Cost Money, Says Top Analyst, While Rivals Google And Samsung Currently Offer Many Of Their AI Services For Free
Portfolio Pulse from Benzinga Neuro
Apple Inc. (NASDAQ:AAPL) may charge up to $20 for its advanced AI features, potentially boosting its services segment. This move contrasts with rivals like Google (NASDAQ:GOOGL) and Samsung, which currently offer many AI services for free. The high cost of AI development is a driving factor behind this potential pricing strategy.
August 08, 2024 | 8:00 am
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Microsoft charges for its AI Copilot tool, similar to Apple's potential strategy. This aligns with industry trends of monetizing advanced AI features.
Microsoft's existing strategy of charging for AI tools aligns with Apple's potential move, indicating a broader industry trend. However, the direct impact on Microsoft's stock is less pronounced.
CONFIDENCE 70
IMPORTANCE 60
RELEVANCE 50
POSITIVE IMPACT
Apple may charge up to $20 for its advanced AI features, potentially boosting its services segment. This move could increase revenue but may face resistance from users accustomed to free services.
Charging for advanced AI features could significantly boost Apple's services revenue, a key growth area for the company. However, user resistance to new charges could temper the positive impact.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
Google offers many AI features for free, contrasting with Apple's potential move to charge for similar services. This could enhance Google's competitive position in the AI space.
Google's free AI features could attract users who are unwilling to pay for Apple's premium services, potentially strengthening Google's market position.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 70