Apple Considers AI Search, Hints at Post-iPhone Era

During the DOJ antitrust trial against Google, Apple's Senior Vice President Eddy Cue predicted that AI advancements could make the iPhone obsolete within the next decade, a shift he compared to Apple's phasing out of the iPod. Cue testified that Apple is evaluating AI-powered search providers such as OpenAI, Perplexity, and Anthropic for integration into Safari, which could challenge Google's position as the default search engine. He noted a recent decline in Safari search volumes attributed to users turning to AI tools, though Google publicly disputed this, maintaining its search query volumes continue to grow on Apple devices. The testimony contributed to a significant drop in Alphabet's stock price and renewed focus on the $20 billion annual partnership between Apple and Google. Cue's statements highlight the broader industry movement toward AI and new device form factors, such as smart wearables or AR glasses. Despite speculation about the future, the iPhone remains Apple's principal source of revenue and innovation.