Apple’s Worldwide Developers Conference 2025 was expected to bring high hopes for the tech titan but unfortunately instead, shed light on the company’s slow progress in AI innovation.
The event, led by Apple CEO Tim Cook, announced new software updates and features but failed to deliver the major artificial intelligence (AI) advancements that investors were expecting.
Competitors of Apple such as Google and Microsoft are way ahead in the AI race as Apple’s slow progress, especially with Siri, brought some disappointment.
Falling Behind Peers in the AI Race
Apple’s slow AI development has caused it to fall behind major competitors. OpenAI, Google, and Microsoft are bringing in new generative AI models, chatbot upgrades and new features being installed and updated almost every week. ⁽¹⁾
Meanwhile, Apple’s foundational AI infrastructure and models are still catching up. The company’s failure to announce partnerships with AI leaders like Google, Baidu, or Alibaba further highlights its challenges.
Adding to the pressure, OpenAI, an Apple AI partner, recently teamed up with Apple’s former design chief, Jony Ive, to create AI “companion” devices that could rival the iPhone. ⁽²⁾
Investors Concerned on Siri Delays
Apple has come up short in delivering new updates on its AI-powered Siri for over a year. Apple’s software chief Craig Federighi stated that improvements for Siri are not yet ready and highlighted existing Apple Intelligence features like Genmoji, smart replies and photo tools but stated that Siri’s major upgrades are still under development.
Investors were disappointed by the delay, hoping for more substantial AI progress during the WWDC event. ⁽³⁾
Apple also faced criticism for misleading “available now” claims about Apple Intelligence, including Siri, forcing the company to pull ads after an industry watchdog called them out.
A much-smarter Siri not appearing until sometime next year means the next crop of iPhones is unlikely to receive any sort of AI boost. That could leave Apple’s investors waiting until the fall of 2026 to see if the company can make its mark. Liquid glass, the iPhone’s new shiny and transparent visual interface, won’t quench that thirst for long. ⁽⁴⁾
Apple Stock Drop Shocks Markets
Apple stock declined just minutes into the WWDC keynote, declining more than 2% from $206 to $200.
The drop wiped out $75 billion in market value due to the delays in Siri as software chief Federighi admitted that the company’s highly anticipated AI overhaul wasn’t complete. His statement on the delays disappointed Wall Street. ⁽⁵⁾
Analyst Views on the Event
Analysts were also disappointed with the keynote speech. Wedbush analysts stated that the WWDC laid out the vision for developers but was void of any major Apple Intelligence progress as the company is playing it safely. Barclays stated that they weren’t expecting much but were dissatisfied with the features.
However, some analysts stated more positive thoughts on the event, with Bank of America analysts stating that Apple presented a substantive user interface refresh and developer-focused AI strategy. ⁽⁶⁾
New Features Announced
Despite the lag in AI innovation, Apple announced several other updates. The company introduced live translation for phone calls, messages, and FaceTime, allowing real-time conversations across languages.
New group-chat features, such as polls and Apple Cash integration, were also announced, along with a visual redesign of Apple’s operating systems. ⁽⁷⁾
iPads will now function more like Mac computers, with apps running in Windows. Additionally, Apple introduced a “Foundation Models framework” to help developers integrate AI into apps without relying on cloud computing.
Features like a “Workout Buddy” for the Apple Watch, which analyzes fitness data and offers encouragement, were also shown. While these updates are notable, they didn’t meet the high expectations for a highly expected AI reveal. ⁽⁸⁾
Looking Ahead
Apple WWDC keynote indicated that the tech titan is still committed to software innovation but has disappointed investors with the delay in AI advancements. Apple has fallen behind in the AI race for now and could see additional pressure from competitors, depending on whether the tech giant can catch up.
