1 00:00:00,000 --> 00:00:04,480 It finally happened. Apple succumbed to the hype and will bring us one step closer to the AI 2 00:00:04,480 --> 00:00:08,700 dystopia that we've all been hoping for. In the near future, your iPhone won't just be smart, 3 00:00:08,880 --> 00:00:13,160 it'll be intelligent. And I'm not talking about artificial intelligence, but Apple intelligence. 4 00:00:13,500 --> 00:00:17,940 Yesterday, Apple changed the world by bringing AI to everyone. And by that, of course, they mean 5 00:00:17,940 --> 00:00:22,680 everyone with an iPhone 15 Pro or better. It's able to do amazing things, like analyze all your 6 00:00:22,680 --> 00:00:27,260 photos and email to prompt chat GPT, help you cheat on your homework, and send creepy generated 7 00:00:27,260 --> 00:00:31,180 photos to your friends on their birthday, and so much more. Because we're talking about Apple, 8 00:00:31,360 --> 00:00:35,800 this new feature is already receiving a delusional level of praise from the mainstream. But it does 9 00:00:35,800 --> 00:00:40,320 have some haters like Elon Musk, who made an empty threat to ban intelligent Apple products from his 10 00:00:40,320 --> 00:00:45,240 companies. And in today's video, I'll explain the unpopular opinion of why Apple intelligence is 11 00:00:45,240 --> 00:00:50,020 actually kind of dumb. It is June 11th, 2024, and you're watching the Code Report. Yesterday, 12 00:00:50,160 --> 00:00:55,620 Apple gave the keynote for its Worldwide Developer Conference. But the reality is that WWDC is not 13 00:00:55,620 --> 00:01:00,260 for developers, it's for shareholders. Apple Inc. used to be the most valuable company in the world, 14 00:01:00,340 --> 00:01:05,240 but was surpassed by Microsoft and NVIDIA just a few days ago. That's unbelievably humiliating, 15 00:01:05,420 --> 00:01:09,340 and for the last year, everybody's been asking, when is Apple going to do something with AI? 16 00:01:09,640 --> 00:01:14,220 Well, yesterday, Apple made a genius move. They rebranded the acronym AI from artificial 17 00:01:14,220 --> 00:01:20,120 intelligence to Apple intelligence, an idea it stole from Alibaba. Surely, a $3 trillion company has 18 00:01:20,120 --> 00:01:24,220 the resources to train its own large language model. Well, apparently not. Basically, 19 00:01:24,220 --> 00:01:28,380 Apple intelligence is able to understand the context of everything that's going on on your 20 00:01:28,380 --> 00:01:33,400 device, like your emails, photos, and so on. This experience is built into apps throughout the 21 00:01:33,400 --> 00:01:37,680 system. Then perform useful actions, like set reminders in your calendar based on what's going 22 00:01:37,680 --> 00:01:42,320 on in your life. Now, Apple does have its own AI models that run on device, and it will attempt to 23 00:01:42,320 --> 00:01:46,660 use those as a first resort. But if those models are too dumb to get the job done, it'll then prompt 24 00:01:46,660 --> 00:01:52,340 GPT-4 remotely. You'll be able to access chat GPT for free. And that sounds pretty similar to 25 00:01:52,340 --> 00:01:56,500 those creepy Copilot Plus PCs that everyone was freaking out about last week. To be fair, 26 00:01:56,720 --> 00:02:00,540 Apple does have a much better reputation when it comes to privacy, but how could they possibly 27 00:02:00,540 --> 00:02:04,500 share your data with OpenAI remotely and still call that private? Well, they introduced a new 28 00:02:04,500 --> 00:02:09,340 thing called Private Cloud Compute that allows your phone to offload complex jobs to the cloud. 29 00:02:09,460 --> 00:02:11,100 Apple claims it will never store your data, 30 00:02:11,240 --> 00:02:15,520 your requests and information will not be logged, and this private cloud will be audited by third 31 00:02:15,520 --> 00:02:19,200 parties to ensure your private data is not leaking somewhere it shouldn't be. However, 32 00:02:19,200 --> 00:02:24,180 the reality is that your data is being processed by some closed-source software on a server connected 33 00:02:24,180 --> 00:02:28,260 to the internet that's not yours. Apple has always stated that it will never let the government use 34 00:02:28,260 --> 00:02:32,520 the backdoor, but for anyone who truly cares about privacy, this is likely not acceptable. 35 00:02:32,780 --> 00:02:37,200 What's even more crazy, though, is Apple's partnership with OpenAI. Their tech now has its 36 00:02:37,200 --> 00:02:42,540 tentacles inside both Microsoft and Apple products, and Apple intelligence is a big win for Microsoft 37 00:02:42,540 --> 00:02:47,740 because they're entitled to 49% of OpenAI's future profits. It's a really interesting 38 00:02:47,740 --> 00:02:51,800 thruple situation that we've got going here, and Apple might even let Google get in on the action 39 00:02:51,800 --> 00:02:56,880 too, by offering Gemini as an alternative to GPT-4. Ultimately, though, normal people don't care 40 00:02:56,880 --> 00:03:01,440 about privacy, and they just want a useful iPhone. The new features in Siri will allow you to get a lot 41 00:03:01,440 --> 00:03:05,760 more done by just talking to your phone, and it makes these new devices like the Rabbit R1 42 00:03:05,760 --> 00:03:09,940 even more dead than it was on arrival. But Apple intelligence also killed a bunch of other 43 00:03:09,940 --> 00:03:14,800 startups, like it'll also be able to rewrite text and fix grammar, thus making grammarly obsolete, 44 00:03:14,800 --> 00:03:18,980 but the coolest app was this hand-drawn AI calculator, which will make virtually every 45 00:03:18,980 --> 00:03:23,840 other calculator app obsolete. In addition, your iPhone will also be able to generate crappy AI 46 00:03:23,840 --> 00:03:28,080 pictures, and you can even create your own custom emojis. But really, the biggest thing that died 47 00:03:28,080 --> 00:03:33,840 yesterday was anything that was a chat GPT wrapper, because now your iPhone is basically just a chat GPT 48 00:03:33,840 --> 00:03:38,840 wrapper. That's pretty awesome, but if you're just a poor loser with an iPhone 15 standard or worse, 49 00:03:38,920 --> 00:03:43,540 you're not going to get Apple intelligence. We all know that Apple's MO is FOMO, but it takes a lot of 50 00:03:43,540 --> 00:03:50,060 computing power to run AI models. The A16 chip on the iPhone 15 only has 6GB of RAM, and the NPU can 51 00:03:50,060 --> 00:03:56,940 do 17 tops, while the A17 Pro has 8GB of RAM and can handle 35 tops. That's a pretty big difference, 52 00:03:57,060 --> 00:04:01,620 but we're only looking at the baseline here. We are just getting started. Apple just built a 53 00:04:01,620 --> 00:04:06,320 foundation to grip us with AI FOMO for the next 10 years, but if things keep going at this rate, 54 00:04:06,400 --> 00:04:10,540 it's only a matter of time before the iPhone becomes more intelligent than you are, at which point, 55 00:04:10,540 --> 00:04:14,900 it can truly optimize your happiness by recommending you buy a flip phone and switch to Linux. 56 00:04:15,040 --> 00:04:18,600 This has been The Code Report, thanks for watching, and I will see you in the next one.