Apple Bets on AI Wearables to Lock in iPhone Users
AppleApple(US:AAPL) PYMNTS.com·2026-02-17 23:33

Core Insights - Apple is accelerating the development of three AI-powered wearable devices: smart glasses, a pendant, and AirPods, with the aim of enhancing user experience within its ecosystem [1][2][6] - The pendant and AirPods with expanded AI capabilities could be released as early as this year, while the smart glasses are expected to launch in 2027 [2][6] Product Development - The new devices will be integrated with Apple's Siri digital assistant and linked to the iPhone, emphasizing the company's focus on AI technology [2][6] - Apple CEO Tim Cook highlighted the importance of AI as an operating system-level capability that enhances the overall value of the Apple ecosystem [7] Strategic Partnerships and Acquisitions - Apple acquired Q.ai, an Israeli startup specializing in AI technology for audio, which aligns with its focus on voice interaction and ambient computing [7][8] - A partnership with Google was announced, indicating that future iterations of Apple's Foundation Models will utilize Google's Gemini and cloud technology to enhance Siri and other tools [8] Market Context - The development of these devices comes at a time when competitors like Meta are successfully launching smart glasses, indicating a competitive landscape in the wearable technology market [6]