How well is Apple’s AI iPhone really selling? We’ll get the first signs soon

Apple CEO Tim Cook said the company’s Apple Intelligence AI tools would “supercharge” the iPhone 16 when he introduced the new device last month. Now the world is about to get its first glimpse of whether the promise of Apple’s artificial intelligence technology is also supercharging deflated iPhone sales.

Apple CEO Tim Cook said the company’s Apple Intelligence AI tools would “supercharge” the iPhone 16 when he introduced the new device last month. Now the world is about to get its first glimpse of whether the promise of Apple’s artificial intelligence technology is also supercharging deflated iPhone sales. When Apple reports earnings for the third quarter after Wall Street’s closing bell on Thursday, the results will include the just over two weeks of sales figures since iPhone 16 preorders opened on Sept. 13. (Devices officially landed on shelves Sept. 20.) While that’s only a sliver of what will end up being the iPhone 16’s total lifetime sales, it will provide an important early look at demand for the device that Apple has been hoping would turn around a years-long sales rut. Apple’s overall revenue declined year-over-year for four straight quarters last year, in part because of weak iPhone demand and widespread economic uncertainty. After repeatedly failing to give consumers an exciting reason to upgrade, some analysts believed Apple Intelligence, a software upgrade that inserted artificial intelligence features throughout the iPhone 16, could spur a sales “supercycle” that the company sorely wants. But early pre-sale estimates from analysts last month suggested a somewhat muted response. But Apple just this week rolled out the first Apple Intelligence features to the iPhone 16, as well as iPhone 15 Pro models, including new writing tools and the ability to record, transcribe and summarize calls. That means people who bought the iPhone 16 in the first month it was on sale didn’t have access to those AI features until just recently. The slow drip of new capabilities and features – more Apple Intelligence offerings are expected to drop along with iOS 18.2 in December – may mean Apple fans didn’t feel a huge sense of urgency to upgrade to the iPhone 16.