Apple could LOSE its title as the world’s most valuable company to Google, Microsoft or Amazon in the cut-throat race for Artificial Intelligence

Apple could lose its place as the world’s most valuable company to Silicon Valley rivals Amazon, Microsoft or Google, due to their groundbreaking work in artificial intelligence (AI).

The tech giant became the world’s first company to be valued at $3 trillion earlier this year, thanks to 2.2 billion iPhones sold since 2007, and will unveil its new iPhone 15 tomorrow at Apple Park headquarters in Cupertino, California.

But the country saw $200 billion wiped off its share price last week amid rising hostility from China, and is facing claims it could be “doomed” for failing to develop an in-house version of the technology that driving the AI ​​revolution.

“It’s difficult to pick losers today because it’s still very early. However, we believe that the arms dealers harboring Large Language Models (LLMs) are clear winners,” said Needham analyst Laura Martin.

“Not only do their LLMs have the lowest cost structures and first-mover advantages, but their average lifetime value per Cloud customer is about to skyrocket due to the stickiness of apps built on their LLMs.”

“Not only do their LLMs have the lowest cost structures and first-mover advantages, but their average lifetime value per Cloud customer is about to skyrocket due to the stickiness of apps built on their LLMs.”

Microsoft, Amazon and Google’s parent company Alphabet have spent billions of dollars on the LLMs that crawl millions of pages of the Internet and feed them through language algorithms to produce answers to human users’ questions.

Apple has now reportedly increased its spending on AI development to millions of dollars per day, led by a team of 16 employees led by former Google engineers.

And insiders told it The information that its prototype, known as Ajax GPT, is reportedly more powerful than OpenAI’s GPT3.5.

But Needham warns that companies without their own LLM are already being priced out of the market as the use of AI increases.

“Generative AI will redefine the basis of competition for media and internet companies,” Martin told marketwatch.com.

Apple has been the world’s most valuable company for much of the past dozen years, but has regained little of the value it lost last week after reports that the Chinese government is cracking down on iPhone use among government workers.

China’s crackdown on the iPhone comes at a time of rising tensions between Washington and Beijing, showing that even Apple’s longstanding good relationship with the Chinese government may not protect the company from geopolitical headwinds.

“Beijing is trying to reduce its dependence on US technology, but this ban is a significant headwind for Apple as China is its largest international market and accounts for about 20 percent of its sales,” said Victoria Scholar, head of investments at interactive investor , a British investment platform.

Chinese tech company Huawei also scared Apple and the US government earlier this month when it launched the Mate

The US Commerce Department said it is working to obtain more information “about the character and composition” of the Huawei chip that may violate trade restrictions.

Since its debut in 2007, 2.4 billion iPhones have been sold worldwide, but will it just be a platform for other companies’ artificial intelligence?

Microsoft, which developed the Gorilla LLM, was the most valuable company in the world in the late 1990s and early 2000s, briefly retaking the top spot in 2021.

Alphabet promotes its Bard LLM on its Google search engine, while Amazon is the developer behind Alexa.

But Needham says the battle for top spot will play out over the next decade, with many analysts insisting Apple will remain a tech titan with a “golden installed base of two billion consumers.”

“Apple is the heart and lungs of Cupertino, and it is the best consumer brand in the world,” said Wedbush analyst Dan Ives.

What is OpenAI’s ChatGPT chatbot and what is it used for?

OpenAI states that their ChatGPT model, trained using a machine learning technique called Reinforcement Learning from Human Feedback (RLHF), can simulate dialogue, answer follow-up questions, admit mistakes, challenge incorrect assumptions, and reject inappropriate requests.

The initial development involved human AI trainers who provided the model with conversations in which they played both sides: the user and an AI assistant. The version of the bot available for public testing attempts to understand user questions and responds with in-depth answers that resemble human-written text in a conversational format.

A tool like ChatGPT could be used in real-world applications such as digital marketing, creating online content, answering customer service questions, or, as some users have discovered, even to help debug code.

The bot can respond to a variety of questions while imitating human speaking styles.

A tool like ChatGPT could be used in real-world applications such as digital marketing, online content creation, answering customer service questions or, as some users have discovered, even to help debug code

As with many AI-driven innovations, ChatGPT is not without its doubts. OpenAI has acknowledged the tool’s tendency to respond with “plausible-sounding but incorrect or nonsensical answers,” a problem the company says is challenging to solve.

AI technology can also perpetuate societal biases, such as those around race, gender and culture. Technology giants including Alphabet Inc’s Google and Amazon.com have previously acknowledged that some of their projects experimenting with AI were “ethically risky” and had limitations. At several companies, humans had to step in and fix the AI ​​havoc.

Despite these concerns, AI research remains attractive. Venture capital investments in AI development and operations companies rose to nearly $13 billion last year, and $6 billion had flowed in through October of this year, according to data from PitchBook, a Seattle firm that tracks funding.