Get ready for an exciting WWDC Keynote this June! Reports suggest that Apple is gearing up for the most significant iOS update yet with the introduction of iOS 18. This update will include Apple’s new AI initiative, featuring both cloud-based and on-device capabilities. The anticipation is high as many are hoping for Siri to become a stronger competitor in the digital assistant realm.

Ben Reitzes, head of technology research at Melius Research, shared his insights on what Apple might unveil at WWDC this year during CNBC’s ‘Squawk on the Street.’ According to Reitzes, Apple could introduce a new AI App Store where iPhone users can access and install AI-based apps from various developers, including Apple’s own creations.

Traditionally, Apple has been successful in getting developers on board while simultaneously enhancing the ecosystem for app consumption. Just like how iTunes revolutionized the music industry by selling songs for a dollar each, and how the iPhone improved third-party apps, Reitzes believes Apple aims to do the same with AI technology.

Reitzes mentioned in a client note that Tim Cook and his team are engaging with rivals like Google and Open AI to make their AI models accessible through the App Store. This strategic move could lead to a significant boost in Services revenue and potentially spark an extensive upgrade cycle for iPhones in 2025 as Apple optimizes both software and silicon for AI integration.

Stay tuned for WWDC as Apple lays down the groundwork for its new AI App Store, offering users a wide range of AI apps to enhance their iOS experience. With potential improvements to Siri and a focus on AI-driven innovation, Apple is set to make waves in the tech industry. Get ready for an exciting future with iPhones powered by cutting-edge artificial intelligence!