iOS 18.1 will be released this week, officially launching the initial functionality of Apple Intelligence on devices that can support the AI-powered suite of tools. That's because the models Apple releases this fall are the only iPhones other than the iPhone 15 Pro and iPhone 15 Pro Max that can run the new features. That's right.

Not exactly.

“Some analysts are even making dubious claims that Apple Intelligence is already ‘sparking a massive holiday season’ and an ‘AI consumer revolution,’ writes Bloomberg's Mark Gurman in a recent column, and Apple Apple's AI efforts are about two years behind those of its competitors, he writes in a recent column. 'But Apple's AI glory is still years away. If the new iPhone hits this year, it will likely be thanks to everything but AI.”

Analyst Ming-Chi Kuo is similarly pessimistic about the Apple Intelligence-inspired sales boom, citing recent production cuts that mainly affect models other than the iPhone 16 Pro. I believe Apple is best positioned to succeed with on-device AI and am confident about the long-term potential for Apple Intelligence to become a popular paid service. 'However, significant growth in iPhone shipments will require further hardware innovation to accompany this AI development.'

It may not be the launch of Apple Intelligence that people dreamed of, especially those working at Apple headquarters. However, it is not at all surprising, given that iOS 18.1 is just the first step in the Apple Intelligence rollout process, which is expected to last until next year.

“Apple is making Apple Intelligence an important part of iPhone 16 marketing and advertising, so there should be some impact on sales when it arrives,” and the launch of Apple Intelligence should cause a spike in iPhone 16 sales. When I asked if the launch of Apple Intelligence could cause a spike in iPhone 16 sales, Avi Greengart of Techsponential said, “It should have some impact on sales when it arrives. But there are many definitions of “when Apple Intelligence arrives.”

Apple took the unusual step of releasing a beta version of iOS 18.1 before the official launch of iOS 18, with the idea of getting Apple Intelligence features into developers' hands as quickly as possible. iOS 18 updates arrived A public beta followed shortly after in September.

Not all Apple Intelligence features are found in iOS 18.1. The update includes a writing tool that works with all apps that allow keyboard input, including third-party ones. The writing tool can be used to get proofreading suggestions, try different tones, and make text more concise. You can also select text to get a summary, and the summary feature has been added to the Safari, Mail, and Notes apps as well.

In Mail, other Apple Intelligence-inspired changes include smarter replies to messages and a priority inbox feature that puts messages with deadlines at the top of the inbox. Instead of displaying the first few sentences of a message, the inbox now displays a two-line summary. Notifications should also be summarized, but in my experience using iOS 18.1 since September, this particular feature has not shown up that much.

Photos are perhaps the biggest beneficiary of Apple Intelligence, with the ability to find photos and videos in the library using natural language search. (This feature seems to work to some extent even on models running the iOS 18.1 beta version, which does not necessarily support Apple Intelligence, such as my iPhone 12.) Text prompts can be used to create “memory movies,” slideshows of photos and videos from the library, and the “cleanup” tool mimics Google's “Magic Eraser” feature by allowing you to remove unwanted objects from photos with a tap.

Siri also receives its first change, a complete overhaul as part of Apple Intelligence. When you invoke Siri, the entire screen flashes, and you can interrupt the assistant or correct it mid-request; Siri has a broader understanding of Apple products, making it a great troubleshooting resource; Apple Intelligence, Type to Siri also includes the ability to convert.

These are all improvements, and some go further. But they are not reinventing what the iPhone offers. Says Greengart, “These Apple Intelligence features also feel like improvements on existing features spread throughout the OS, and don't fundamentally change the way we use our phones.”

After using iOS 18.1, I certainly felt that way. Some features are very well implemented, like the writing tool that can convert sentences into more formal text. However, I feel that other tools need more refinement over time. This first burst of Apple Intelligence features is certainly reason enough to upgrade your phone.

But that is not a criticism of the iPhone 16 lineup. For starters, the iPhone 16 has premium features like camera control buttons and a new A18 chipset that no longer feel like an afterthought to the Pro models. iPhone 16 has longer lasting charges on all models, and the iPhone 16 Pro and iPhone 16 Pro Max's improved camera keeps Apple's handsets on top as the best camera phones.

So rather than being the sole driver of the upgrade, Apple Intelligence is more like a nice add-on to all the changes Apple has made to its iPhone lineup.

This assessment is also consistent with IDC's forecast for iPhone sales in the holiday quarter ending 2024. Nabila Popal, senior research director at IDC, said, “We expect Apple to experience fairly healthy growth in the fourth quarter.” [Growth from Apple Intelligence will come next year, with nearly 5% year-over-year growth projected for Apple in 2025,” she added. We expect consumer awareness of Apple Intelligence to grow, use cases to increase, and additional language support to be rolled out by then.”

With iOS 18.1 coming to phones next week, attention will inevitably turn to iOS 18.2. Expect a public beta to be released shortly.

iOS 18.2 brings more Apple Intelligence features, including Visual Intelligence specifically for the iPhone 16. This Google Lens-like feature allows users to point the iPhone camera at something and extract information. When Apple previewed this feature in September, it gave examples of identifying dog breeds and pulling event information from concert posters.

Other iOS 18.2 additions include Image Playground, Apple's stab at using generative AI to create images. This includes the long-awaited Genmoji feature, which allows users to create custom emojis using text prompts; ChatGPT is also integrated into Siri responses, and Apple continues to tweak its digital assistant.

These will be a nice addition to the iPhone experience, and I certainly look forward to trying them out. However, as much as the additions to iOS 18.1 are being talked about right now, they will not cause the iPhone 16 to skyrocket as some are hoping.

What happens then, Techsponential's Greengart believes that Apple's most pressing challenge is to “show that even a limited version of Apple Intelligence in the current software can do useful and interesting things that could not be done before Show that even a limited version of Apple Intelligence in current software can do useful and interesting things that were not possible before. The summary of Messages and Email is perhaps the most obvious change. 0]

In the long run, “Apple needs to find ways for rivals with better performing AI models to leverage (and monetize) that technology, and leverage its privacy and cross-app capabilities to take action on your behalf before Apple's ecosystem dominance is diminished. need to do,” Greengart said.

IDC's Popal sees Siri as key. For me, and for more users, the most exciting use case will be for Siri to function as a “human-like” digital assistant. This is the direction I believe Apple will focus on in the next year (or multiple years), as it will motivate consumers to upgrade early.” “