Apple’s (AAPL) AI-powered notification summary feature is under fire for spreading false news alerts. This includes a recent notification wrongly declaring that British darts player Luke Littler had won the PDC World Darts Championship before the final even happened. Shortly after, another alert falsely claimed that tennis star Rafael Nadal had come out as gay. The issue, which inaccurately attributes these summaries to news sources like the BBC, has led the broadcaster to request fixes from the tech giant for over a month.
Stay Ahead of the Market:
- Discover outperforming stocks and invest smarter with Top Smart Score Stocks
- Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener
The BBC had already flagged a similar issue in December when the AI-generated alert wrongly suggested a murder suspect in New York had died by suicide. Apple told the BBC it’s working on an update to clarify when notifications are generated by its AI system. The company also said that the feature is still in beta and encouraged its users to report any misleading summaries.
Experts, like Ben Wood from CCS Insights, highlight that “hallucinations” (misleading or false AI-generated information) are a fairly common issue when it comes to AI, and the complexity of compressing news updates into brief summaries seems to be amplifying the errors. Nevertheless, Apple says an update to resolve the issue will be rolled out “in the coming weeks.”
Is Apple a Buy or Sell Right Now?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on AAPL stock based on 19 Buys, seven Holds, and three Sells assigned in the past three months, as indicated by the graphic below. After a 31% rally in its share price over the past year, the average AAPL price target of $244.77 per share implies that shares are fairly valued.