Investors were not impressed by Apple’s 2024 Worldwide Developers Conference (WWDC), where the tech giant unveiled 'Apple Intelligence' — a suite of new generative AI features set to be included in iOS 18, iPadOS 18 and macOS Sequoia later this year.
The stock was lower in pre-market trading after finishing the session in the red as the iPhone maker tried to show worried investors that it is not slipping behind on AI.
As part of its generative AI announcements on Monday, Apple said that alongside its new Apple Intelligence system that will allow users to access generative AI-powered tools almost anywhere within their devices, it would give users the option to send a query to ChatGPT to take advantage of its own spectrum of knowledge.
However, billionaire Elon Musk has threatened to ban the use of Apple devices at his companies if Apple integrates OpenAI’s ChatGPT into its iPhone, iPad and Mac operating systems.
“If Apple integrates OpenAI at the OS level, then Apple devices will be banned at my companies. That is an unacceptable security violation,” Musk said on X.
“They’re selling you down the river. Apple using the words ‘protect your privacy’ while handing your data over to a third-party AI that they don’t understand and can’t themselves create is *not* protecting privacy at all,” he added.
Shares in the pharma company were higher ahead of the market's opening as its Alzheimer's drug secured unanimous backing from an outside US Food and Drug Administration panel.
The experts concluded, by an 11-0 vote, that the drug’s benefits outweigh its risks, despite some safety concerns.
“I thought the evidence is very strong and the trials [show] the effectiveness of the drug,” said Dean Follman, a panellist and assistant director of biostatistics at the National Institute of Allergy and Infectious Diseases.
The panel said the medicine, developed by Eli Lilly and known as donanemab, appeared to be an effective treatment for certain Alzheimer’s patients.
The FDA isn’t required to follow the recommendations of its advisory committees, but it typically does.
In Lilly's large clinical trial, donanemab, given by infusion once a month, slowed the progression of memory and thinking problems by 29% overall. However, three patients died.
Advanced Micro Devices (AMD) stock fell in pre-market trading as it was downgraded by Morgan Stanley over concerns that expectations are too high for the chipmaker's AI products.
Bus and train operator FirstGroup hiked its dividend by 45% after a jump in annual profits, despite revenues falling slightly over the year.
FirstGroup posted a 27% jump in underlying operating profits to £204.3m for the year to March 30 – though this was helped higher by an extra week’s trading and the receipt of higher variable fees in First Rail than the previous year.
The rise came despite revenues edging lower to £4.72bn from £4.76bn.
FirstGroup said it was mindful of a potential renationalisation of National Rail contracts as a result of Labour winning the upcoming election.
FirstGroup warned: “A change of UK government could lead to policy changes resulting in the renationalisation of the National Rail contracts within the First Rail division as the expiry dates of our various agreements with the Department for Transport are reached.”
The company runs three major UK train operating companies - Avanti West Coast, Great Western Railway and South Western Railway - as well as two open-access passenger rail services, Hull Trains and Lumo.
Watch: Apple’s ‘Apple Intelligence’ AI has an emphasis on privacy
Download the Yahoo Finance app, available for Apple and Android.
