It’s not too late for Apple to get AI right

This week, OpenAI made waves by unveiling a new feature that allows apps to operate directly within ChatGPT, enabling users to book travel, generate playlists, and edit designs without the hassle of switching between multiple applications. This development sparked discussions about the potential obsolescence of Apple's App Store, with many speculating that ChatGPT could emerge as the leading AI-native distribution platform. With 800 million active users and the introduction of the Apps SDK, some compare this moment to Steve Jobs' launch of the App Store back in 2008. Despite the rising threat from OpenAI’s app platform, Apple’s ambitions for a revamped Siri could still pave the way for its success. The tech giant has a significant advantage, controlling both the hardware and software ecosystems, and boasts a staggering 1.5 billion iPhone users worldwide. If Apple successfully enhances Siri, it could not only preserve its dominance in the app industry but also redefine user interaction in the age of AI. The company's vision aims to eliminate the app icon while retaining the functionality of applications, shifting towards a more conversational interaction style. This shift is timely, as the traditional method of organizing tappable icons on an iPhone’s Home Screen feels increasingly outdated. Users now frequently opt for AI assistants to obtain recommendations or information, often bypassing traditional search engines and single-purpose applications. Whether it’s asking a smart speaker to play music or querying a chatbot for movie reviews, the process of engaging with AI has become more intuitive than sifting through Google search results. However, the ChatGPT app system, while innovative, confines users to a chatbot interface which may require a learning curve. To access an app, users must specifically name it, which could lead to confusion if not done accurately. The simplicity of AI interactions contrasts sharply with the complexities of navigating through various apps on a crowded iPhone. As Apple prepares to roll out its new AI-powered Siri, which promises seamless integration with existing applications, the company is banking on its established ecosystem. Users are already familiar with their favorite apps, having used them for years, which could give Apple an edge despite Siri's current shortcomings. Apple has reassured developers that they won't need to overhaul their apps significantly to utilize new AI capabilities. With a focus on categories like notes, media, and payments, Siri will soon be able to execute commands across a wider range of applications. For instance, users might simply say, 'FaceTime my grandpa,' and Siri would manage the call seamlessly without requiring rigid phrasing. Moreover, Apple’s infrastructure allows it to offer a cohesive app experience, unlike ChatGPT, which relies on third-party developers and a newer Model Context Protocol for integration. While OpenAI’s app model is still in the early adoption phase, Apple’s extensive testing suggests that its smarter Siri is on the verge of being ready, potentially working with a multitude of popular apps. The competitive landscape is heating up, with OpenAI also exploring hardware options to integrate its AI into everyday life. However, public skepticism surrounding always-on AI devices poses a significant challenge. As both companies navigate this evolving terrain, Apple’s ability to successfully enhance Siri could redefine the app experience and potentially render ChatGPT's intermediary model less necessary.