Former Apple CEO explains why OpenAI is iPhone maker's ‘first real competitor’

John Sculley, the former CEO of Apple, has raised concerns that his previous company is facing a significant challenge from OpenAI, the creator of ChatGPT, marking its first serious competitor in decades. Sculley emphasized that Apple has fallen behind in the artificial intelligence race, lagging behind industry giants like Google and Samsung. During his remarks at the ZetaLive 2025 conference, Sculley pointed out that Apple has been increasingly dependent on ChatGPT to handle complex user inquiries directed at its Siri voice assistant. There are speculations that Apple might turn to Google to enhance the capabilities of its upcoming Siri update. "AI has not been a particular strength for them," Sculley stated. He elaborated on the shift in technology, saying, "In the agentic era, we don’t need a lot of apps; it can all be done with smart agents." He described the previous model of apps as merely tools and products, contrasting it with a subscription model that provides ongoing value to users. Additionally, Sculley mentioned the collaboration between former Apple designer Jony Ive and OpenAI, highlighting Ive’s pivotal role in the design of iconic products such as the iMac, iPod, iPhone, and iPad. Sculley believes that if anyone can contribute significantly to OpenAI's next generation of AI-driven hardware, it’s Jony Ive, working alongside CEO Sam Altman. Sculley, who led Apple from 1983 to 1993, is known for his controversial decision to remove Steve Jobs from the company in 1985. After facing challenges and being ousted from Apple in 1993, Sculley co-founded Zeta Global, a data-driven marketing firm, where he remained active until his retirement in 2025.