Apple WWDC: Key takeaways, why the stock dropped

Product & Strategy - Apple unveiled a redesign for its operating systems (iOS, Mac OS, iPad OS, Watch OS), aiming to boost phone sales [1][2] - The iPad is now positioned as a viable laptop replacement with pro-level features like improved multitasking and file management [3][6] - Apple is laying the foundation for future AR/VR technologies through its current software and hardware developments [14][15] AI Development - Apple introduced Apple Intelligence, its AI platform, but lacked major splashy announcements compared to Google IO or Microsoft Build [4] - Apple is working on updating Siri with generative AI capabilities for a more personalized experience [4] - Apple plans to open its foundational models to developers, enabling them to integrate AI into their apps using on-device techniques [20] Market Impact - The refresh cycle for iPhones is expected to remain relatively flat, with no anticipated "super cycle" driven by AI [11][12] - iPad sales exceed 10 million units per quarter, and expanding its attractiveness could boost hardware sales [10] - Apple is exploring a capital-light AI strategy, potentially charging model providers for access to iOS users, which could contribute to services revenue [16][17] Developer Ecosystem - Apple aims to maintain developer excitement by enabling them to build killer apps and experiences within the Apple ecosystem [19] - Developers reacted positively to Apple opening its foundational models, allowing them to create new AI-powered applications [20][21]