Apple (AAPL) Launches iOS 18.1 with Enhanced Apple Intelligence Features

Apple (AAPL, Financial) has officially released iOS 18.1, bringing the first wave of Apple Intelligence features to the iPhone 15 Pro and iPhone 16 models. These features include a comprehensive writing tool to enhance text input, photo cleaning for optimized storage, a notification summary to highlight important app alerts, and improved Siri capabilities for more accurate information delivery. Additional Apple Intelligence features are expected in December, including ChatGPT integration into Siri and new image generation tools to compete with Google.

This release marks a significant milestone for Apple as it uses these features to promote the iPhone 16 series launched last month. Unlike its peers investing billions in cloud-based AI systems driven by NVIDIA chips, Apple focuses on device-side chip usage for Apple Intelligence, requiring hardware upgrades for its devices like iPhone, iPad, and iMac.

Many investors believe these innovations could trigger a major upgrade cycle, reinforcing Apple’s dominance in AI-enhanced everyday use. Analyst Wamsi Mohan from Bank of America Securities anticipates a rise in iPhone demand post-launch. On the same day, Apple also introduced a new iMac with the M4 chip, starting at $1,299 and available from November 8. The latest iMac promises speeds 1.7 times faster than the 2021 M1 chip and six times faster than older Intel versions, with an enhanced neural engine for AI tasks. The new macOS Sequoia 15.1 and iPadOS 18.1 will also support these devices, enabling the new Apple Intelligence functionalities.