Chart of the week
Barbarians at the gates
What does this chart show?
Since 2020, Apple’s sales growth has been stagnant.
Why does it matter?
Apple is the most valuable company in the world by market capitalization, currently trades at 28x forward earnings, and the iPhone is the defacto brain computer interface for much of the western world, but Apple hasn’t truly innovated in its product line and has been nowhere to be found in integrating AI into its devices (don’t ask Siri). Its sales reflect that.
This week Jony Ive partnered with OpenAI to design new AI native devices to reshape how humans interact with computers. This appears to be the next most meaningful competitive threat to Apple’s dominance as the most valuable computing interface outside of the rapid growth of Meta’s AI glasses.
The Bottom Line
One of the central questions of the AI revolution, particularly as AI agents increasingly act on our behalf through voice commands, is what the dominant computing interface will be. Hopefully we won’t need 5 hrs and 16 minutes of screen time (on average)1 in an AI future .