Apple’s shares reached an all-time high on Tuesday, with a 7% surge in daily percentage gain, the highest since late 2022, following the company’s announcement of its generative artificial intelligence plans. This significant jump propelled Apple’s market capitalization to $3.2 trillion, ranking among the 10 largest daily market value surges in history. The company’s CEO, Tim Cook, unveiled the integration of OpenAI’s ChatGPT directly into iPhone applications, which seemingly impressed investors. This move reversed premarket losses and a modest selloff in Monday afternoon trading during and after Apple’s Worldwide Developers Conference’s keynote event. The rally also narrowed the market cap gap between Apple and Microsoft to less than $50 billion, making Apple about $200 billion more valuable than Nvidia.
The integration of ChatGPT into iPhone applications is a significant development, and investors seem to have welcomed the move with open arms. Apple’s AI plans, particularly the upgrade to Siri voice assistant and messaging, are expected to drive iPhone sales, which have been sluggish of late. Analysts expect the launch of the iPhone 16 and the release of iOS18 in the fall to boost sales. While Apple remains behind Microsoft as the world’s most valuable company, this rally marks a significant turnaround for the tech giant.
