Apple must act swiftly to define its AI future, according to Deepwater’s Gene Munster, who said the company has a two-year window to retain user loyalty and meet rising expectations. In a post on X on Tuesday, Munster expects Apple’s WWDC to focus on software updates, not AI breakthroughs, potentially raising investor concerns. He contrasted Apple’s flat $11 billion annual capex with rivals like Amazon, Google, Meta, and Microsoft, which are expected to triple AI investments to $77 billion by 2025. Munster stressed that Apple must boost spending to control features and privacy by developing its top-tier AI model. Munster said current AI devices lack compelling features to draw Apple users away, though the Ive–Altman AI device expected in 2026 could change that.
