Apple just delivered its most AI-restrained product event in years. Despite CEO Tim Cook calling the iPhone 17 the company's "biggest leap ever," Apple Intelligence barely got a mention during the 75-minute presentation. This strategic shift comes as the company bleeds AI talent to competitors, with at least 10 researchers departing recently including four just last week.
Apple just sent a clear signal about where it stands in the AI wars - and it's not where CEO Tim Cook wants to be. The company's much-anticipated iPhone 17 event this week featured a telling absence: virtually no mention of artificial intelligence during what should have been AI's biggest stage.
The shift is jarring. Last year's iPhone 16 launch was packed with AI promises that ultimately disappointed when flagship Apple Intelligence features failed to materialize as promised. This time, Cook and his team took a dramatically different approach during the 75-minute presentation - shorter than usual and conspicuously light on AI buzzwords.
"We're taking the biggest leap ever for iPhone," Cook declared during the livestreamed event. But when it came to the AI features that were supposed to define this generation, Apple barely whispered. The company mentioned how its neural engine powers Apple Intelligence and how local large language models improve gaming performance, but stopped short of the consumer-facing AI showcase that defined competitors' recent launches.
The contrast with rivals couldn't be starker. Google's Pixel 10 unveiling last month put AI front and center, while Samsung made Gemini integration a cornerstone of its January event. Apple's approach felt almost defensive - highlighting how AI works behind the scenes rather than as a marquee selling point.
This strategic retreat comes at a particularly awkward time for Apple's AI ambitions. The company has been hemorrhaging AI talent, with at least 10 researchers departing its AI research division recently. Just last week, four key researchers left, including robotics lead Jian Zhang who jumped to Meta. Two others headed to OpenAI, and another joined Anthropic.
The talent exodus reflects the brutal economics of today's AI race. OpenAI commands a $300 billion valuation and reportedly expects to burn through $115 billion by 2029. Anthropic just raised $13 billion at a $183 billion valuation. has spent billions poaching top researchers after investing over $14 billion in Scale AI alone.