Apple (AAPL) has officially released its highly anticipated artificial intelligence (AI) system and unveiled a new iMac computer that has a more powerful processor.
The consumer electronics giant has released iOS 18.1, an update that includes the company’s AI features, called “Apple Intelligence,” for the iPhone 16 and iPhone 15 Pro. It also released software updates that add its AI functions to the iPad tablet and Mac computers.
The release is seen as a major event for Apple, which has been hyping its AI system for months and is relying on new AI features to drive future sales of its iPhones and other devices. However, the company said that its AI will be limited to start and focus on tools that can proofread and rewrite text for users.
There is also a new AI feature that removes items from photographs and a feature that can summarize a stack of notifications into a single message. The AI has also led to incremental improvements to Apple’s Siri digital assistant, which can answer questions and troubleshoot problems for people. Another update that includes integration with ChatGPT and image-generation capabilities is to be released by year’s end.
Apple’s New iMac Computer
As was widely expected, Apple has also introduced a new iMac computer that comes with a more powerful M4 microchip. The new iMac includes a faster M4 processor, along with two Thunderbolt USB ports. A higher-end iMac comes with four USB ports.
The new iMac also boasts a 24-inch, 4.5K display screen and a textured glass option that can reduce glare. The entry-level iMac costs $1,299, while the higher-end model has a starting price of $1,499. Apple has announced a number of new products in recent weeks ahead of the year-end holiday shopping season.
AAPL stock has risen 22% so far this year.
Is AAPL Stock a Buy?
Apple stock has a consensus Moderate Buy rating among 34 Wall Street analysts. That rating is based on 23 Buy, nine Hold, and two Sell recommendations made in the last three months. The average AAPL price target of $247.32 implies 5.62% upside from current levels.
