Cook Rarely Holds All-Employee Meeting: Apple Inc. (AAPL.US) Must Seize AI Opportunities to Release "Modern Version" Products.

After the release of the financial report, Apple Inc. (AAPL.US) CEO Cook rarely held a company-wide meeting to motivate employees around the prospects of artificial intelligence and the "amazing" product line. The executive gathered employees on Friday at the Cupertino headquarters in California, stating that the AI revolution is "as significant or even more significant" as the internet, smartphones, cloud computing, and apps. Sources familiar with the matter revealed that Cook said, "Apple Inc. must seize this opportunity, and we will invest resources to make breakthroughs." This iPhone manufacturer was late to enter the field of AI as the launch of Apple Intelligence came months after companies like OpenAI, Alphabet Inc. Class C, and Microsoft Corporation. When Apple Inc. eventually released AI tools, the market response was lukewarm. However, Cook remained optimistic, pointing out that Apple Inc. has never been the first to introduce new technologies. "We rarely do the first one," Cook cited, "there was the PC before the Mac, smartphones before the iPhone, tablets before the iPad, MP3 players before the iPod." He emphasized that Apple Inc. invented the "modern versions" of these products, and said, "I feel the same way about AI." The hour-long meeting covered various topics: COO Jeff Williams retiring, Apple TV+ user growth, AirPods Pro hearing aid technology and medical innovations, employee charitable actions, 2030 carbon neutrality goal, regulatory impact, and more. Cook admitted, "Tech giants are facing strict scrutiny worldwide, we need to push regulatory agencies to focus on the intention of legislation, rather than designs that harm user experience and privacy security." Cook often holds town hall-style discussions during his global travels, but holding a company-wide meeting at the headquarters' Jobs Theater is rare. This meeting followed Apple Inc.'s impressive quarterly report: a nearly 10% growth in quarterly sales in June, exceeding Wall Street expectations, alleviating concerns about iPhone demand and a slowdown in the Chinese market. Apple Inc. still faces many challenges, including tariffs imposed by the Trump administration and regulatory reviews. The company stated that tariffs this quarter will result in a $1.1 billion loss, but remains optimistic about sales growth. Cook reiterated in the financial report conference call that they are "significantly" investing in AI, adding 12,000 employees last year, with 40% in research and development positions. Senior Vice President of Hardware Technologies Johny Srouji's chip development is seen by Cook as the core of Apple's AI strategy. Apple Inc. is developing a more powerful cloud computing chip under the codename "Baltra," and is building an AI server factory in Houston. Senior Vice President of Software Engineering Craig Federighi discussed the future of the Siri voice assistant, acknowledging the delay of the AI version of Siri originally planned for this year due to architectural issues, and now developing a completely new architecture version expected to be released in the earliest next spring. Cook urged employees to accelerate the integration of AI into work and future products: "The entire company must deeply apply AI, or we will fall behind." He also outlined retail strategies, emphasizing a focus on opening new stores in emerging markets and investing in online stores. This year, they will open new stores in India, UAE, and China, and enter Saudi Arabia next year. Regarding future products, Cook expressed his excitement: "The current product line is amazing, some will be released soon, while others will take some time." It was previously reported by the media that Apple Inc. plans to release its first foldable iPhone, multiple smart home devices next year, while also developing new headsets, smart glasses, Siasun Robot&Automation technology, and preparing a special edition for the 20th anniversary of the iPhone.